Quiz 9: Profit Planning


Budget- Budget is a numeric statement approach, it prepared for specific objectives and time or period. In other words, budget is a help to forecast the future. Budget helps for planning in all the functional areas of a concern, and also helps to make decision in the managerial level, top level, middle level and lower level (supervisory level)

The Correct solution is: d. is a short-term financial plan Reason A budget helps managers to prepare plans for managing there funds and plan a set of actions for the future.

Control - Control is an influencing activity or manage the event in an around. In other control is to avoid or minimize the deviating condition in all the aspects. The budget helps to maintain controlling the activities. The budget is delivering the 'blue print' of the result in an advance, so the manager can control the elements which are deviated from the planned one.