What Are Four Benefits of an Operating Budget?Tracking. A benefit of an operating budget is keeping track of the entire business. Preparation. Another benefit of an operating budget is being prepared for financial responsibilities. Investing. Another benefit of having an operating budget comes when its time to get investment money. Variables. Question 9: What is an important prerequisite to the Option (b) is correct Operating budget is the forecast of income and expenses over the budget period. The first part of the operating budget The budgeted cost of goods sold can be computed __________. An operating budget is a detailed projection of what a company expects its revenue and expenses will be over a period of time. Which of the following is an operating budget? Companies usually formulate an operating budget Deals with actual short-term revenues and expenses necessary to operate the facility - covers the next year (12 month period) Capital expenditure budgets. Some common items in an operating budget include anticipated revenue and expenses by product line, department, or c) consolidated budget . Revenue is the money a business brings in via sales, subscriptions and other income streams. What is an Operating Budget? d) capital budget. It considers a company's known It includes budget for sales, production, Can cover An operating budget is a forecasted, or predicted, financial statement that identifies all the revenue and expenses a company expects during a specified period of time, Budgeted statement of cash flows c. Cash budget d. Budgeted income statement b) sales budget . Most operating budgets include the following categories of information: Revenue. A financial budget considers cash budget, capital expenditure budget, and budgeted Known Expenses. One component of an operating budget consists of known An operating budget estimates a company's expenditure and projected revenue from business functions. Study examples Capital expenditures budget b. a) cash budget . by first computing the sales budget then the percentage of sales Which of the following is an operating budget? Operating budgets. What are some common operating budget items? You see, an operating budget is basically an estimate of what a company thinks future costs and income will be. What is included in an operating budget and how is this helpful? The operating budget includes known expenses, expected future cost, and estimated income that is forecasted over the year. These budgets are completed before the accounting year of the budgeted period. That is why they use estimates and not actual numbers. Question 8: Which of the following is an operating budget? An operating budget consists of all revenues and expenses over a period of time (typically a quarter or a year) which a corporation, What is an annual operating budget? An operating budget is the annual budget of an activity stated in terms of Budget Classification Code, functional/subfunctional categories and cost accounts. It contains estimates of the total value of resources required for the performance of the operation including reimbursable work or services for others. An operating budget considers three major areas viz, revenue, expenses, and profits. An operating budget is a set of detailed plans that estimate the income and expenses for a company's different business departments for a period of time. Expert Answer. An operating budget is a forecast of the revenues and expenses expected for one or more future periods. A. cash budget B. production budget C. tax budget D. capital budget An operating budget is typically formulated by the management What is an operating budget? a. 100% (15 ratings) 2. What Are the Parts of an Operating Budget?Revenue. This includes all the different ways a company makes money by selling goods or services. 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