Comparing actual result to that of the budget so as to correct significant variances
operational expenditure
After pending non dvelopment expenditure in the anual budget money will be eveporated. this expenditure flow one side direction and can not dvelope human capacity, can not save any thing physicaly.
human resources.
With flexible budget, you check whether the actual activity level is within the range of activity for flexible budget. If yes, then you compare very easily. Just extrapolate your budget for the actual activity level. Only Variable costs needs to be updated (as Fixed costs remain same for a particular activity level). Finally you have the actual results and budgeted results, both on the same activity level. This provides you the ground for comparing the both.
Budget is the projected financial estimate in a given year, whilst expenditures are the actual expenses incured in carrying out the budget.
A revised estimate is the difference between the former budget estimates and the actual expenditure, which is usually presented in the next budget.
Comparing actual result to that of the budget so as to correct significant variances
The format for capital expenditure budget is to list all the expenditure with their estimates. The cost of capital assets and expenditure must be provided.
If the revenue is less than the expenditure, a budget is said to be in deficit. A budget is divided into 3: a. Surplus budget b. Deficit budget c. Balanced budget Surplus : REVENUE greater than EXPENDITURE Deficit : REVENUE less than EXPENDITURE Balanced : REVENUE equals EXPENDITURE
Subtract the budget from the number that was actually spent. Divide that number by the budget.The budget was 10, the actual expenditure was 13.13 - 10 = 33 divided by 10 is 30 per cent
The format for capital expenditure budget is to list all the expenditure with their estimates. The cost of capital assets and expenditure must be provided.
operational expenditure
After pending non dvelopment expenditure in the anual budget money will be eveporated. this expenditure flow one side direction and can not dvelope human capacity, can not save any thing physicaly.
Planned expenditure is how much money a business plans to spend.
After pending non dvelopment expenditure in the anual budget money will be eveporated. this expenditure flow one side direction and can not dvelope human capacity, can not save any thing physicaly.
1. Budgeted No of stations vs Actual No of stations 2. Budgeted No of vechiles per day vs Actual No. of vehicles per day 3. Budgeted fill per vehicle vs actual fill per vehicle 4. Budget no of operational days vs Actual no of operational days 5. Budget gas consumption v actual gas consumption 6. Budgeted electricity consumption vs actual electricity consumption 7. Budgeted fixed expenditure vs actual fixed expenditure