• Unit 7: Budgets

    In this unit we explore the components for preparing a master budget and its underlying performance schedules. Business managers create budgets to plan for future operations, create benchmarks to measure progress, and maintain necessary accounting controls. The budget process involves coordination among every department within a company. Once the master budget is complete, the company can measure how well their actual performance compares with their budget.

    Completing this unit should take you approximately 7 hours.

    • 7.1: Capital Budgeting and Decision Making

    • 7.2: Choosing an Evaluation Approach to Investments

    • 7.3: Additional Considerations of Capital Budgetting

    • 7.4: The Operating Budget

    • 7.5: The Master Budget

    • 7.6: Budgeting in Nonmanufacturing Organizations

    • 7.7: Ethical Issues in Creating Operating Budgets