Budget Management Analysis

In budgeting, one of the major challenges is accurately predicting the profit margins of a firm. This is because there are uncertainties from changes in the economy and their industry. These factors could adversely affect their earnings. To improve accuracy, accounting personnel must use tools and strategies that will enhance analysis. This will be accomplished by focusing on: tactics for managing budgets, comparing results with expectations and recommending three benchmarking techniques. Together, these elements will provide insights as to the best approaches for controlling the budget. (Kimmel, 2009)

Determine specific strategies to manage budgets within forecasts.

A common issue with any kind of budget is managing expenses. This is because costs will inadvertently rise, as there will be impacts from inflation. When this happens, the firm's profit margins are negatively affected. To prevent this there must be strategies developed that are focusing on intelligently controlling spending and...
[ View Full Essay]