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The components of an operating budget typically include revenue projections, which estimate income from sales or services, and expense forecasts, detailing the costs of operations such as salaries, rent, utilities, and supplies. It also encompasses fixed and variable costs, distinguishing between ongoing expenses and those that fluctuate with production levels. Additionally, the budget may include cash flow estimates to ensure sufficient liquidity for day-to-day operations. Overall, these components work together to provide a comprehensive financial plan for the organization over a specific period.

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