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An organization must plan and authorize the money that it spends, also known as its expenditures. If the employees of an organization simply buy whatever they want to buy, without planning or authorization, then that organization will almost certainly run out of money and go bankrupt. Given unlimited opportunity to spend, most people are likely to spend too much. And even a very wealthy organization has only so much money to spend. So organizations make plans about how much they want to spend, and then to ensure that their employees will not violate those plans, they have only certain responsible people who are in charge of spending, who must give their agreement, in other words their authorization, before people can spend money.
If there is more money spent than was planned, that is called overspending. And if money is spent without the authorization that an organization has asked for, then that is unauthorized expenditure. These things are certainly known to happen, and they endanger the finances of any organization in which they happen.
What else can I help you with?
What is irregular expenditure?
what is irregular expenditure
Can expenditure component be negative?
Can an expenditure component be negative
What is an aggregate expenditure?
expenditure money paid out; an amount spent expenditure the act of spending money for goods or services expenditure the act of consuming something
What do you mean by income over expenditure or expenditure over income?
income over expenditure is profitexpenditure over income is loss
What are the difference between the import expenditure and the export expenditure in the economy?
Import expenditure refers to the money spent on imported goods. It is an expenditure because it refers to capital outflow. Export expenditure is the money spent on semi-finished goods, used for export.
What is the link between irregular fruitless and wasteful and unauthorised expenditure?
Fruitless and wasteful expenditure; means expenditure which was made in vain and would have been avoided had reasonable care been exercised. Irregular expenditure; means expenditure , other unauthorised expenditure, incurred in contravention of or that is not in accordance with a requirement of any applicable legislation.
What is unauthorised modification?
Unauthorised modification is changing the contents of a file without the granted permission
What is a sentence for unauthorized?
Unauthorized access was prohibited. So we came back.
Why is it important to monitor expenditure?
Monitoring expenditure is crucial for maintaining financial health and ensuring that budgets are adhered to. It helps identify spending patterns, prevent overspending, and allocate resources effectively. Regularly tracking expenses also aids in making informed financial decisions and adjustments, ultimately contributing to achieving short- and long-term financial goals. Additionally, it enhances accountability and transparency within organizations or personal finances.
What may happen if your expenditure is greater than your income?
If your expenditure exceeds your income, you may incur debt as you borrow to cover the shortfall, leading to financial strain. Over time, this can result in high-interest payments, reduced savings, and potential insolvency. It may also affect your credit score, making it harder to secure loans in the future. Ultimately, persistent overspending can jeopardize your financial stability and overall well-being.
Is credit income or expenditure?
Credit is neither an income or an expenditure. It becomes an expenditure when you use it. expenditure
What does unauthorised copying mean on a CD?
piracy
What is the definition of Recurring Expenditure and Non Recurring Expenditure?
expenditure
What are the main causes of financial crises?
the answer is overspending!
What do you mean by revenue expenditure?
Expenditure for which benefit is expected to be taken in one fiscal year from occurance of expenditure is called 'Revenue Expenditure" Expenditure for which benefit is expected to be taken for morethan once year is called 'Capital Expenditure'
What is irregular expenditure?
what is irregular expenditure
Where to hyphenate expenditure?
Expenditure is not hyphenated.
