Budgeting Terms and Definitions, Quizzes of Financial Accounting

Download Budgeting Terms and Definitions and more Quizzes Financial Accounting in PDF only on Docsity! TERM 1 Budget DEFINITION 1 A quantitative plan for acquiring and using resources over a specified time period TERM 2 Budget Committee DEFINITION 2 a group of key managers who are responsible for overall budgeting policy and for coordinating the preparation of the budget. TERM 3 Cash Budget DEFINITION 3 A detailed plan showing how cash resources will be acquired and used over a specific time period TERM 4 Continuous Budget (Perpetual Budget) DEFINITION 4 A 12 month budget that rolls forward one moth as the current month is completed TERM 5 Control DEFINITION 5 Those steps taken by management to increase the likelihood that all parts of the organization are working together to achieve the goals set down at the planning stage TERM 6 Direct Materials Budget DEFINITION 6 a detailed plan showing the amount of raw materials that must be purchased to fulfill the production budget and to provide for adequate inventories TERM 7 Direct labor budget DEFINITION 7 a detailed plan that shows the direct labor-hours required to fulfill the production budget. TERM 8 Ending finished goods inventory budget DEFINITION 8 a budget showing the dollar amount of unsold finished goods inventory that will appear on the ending balance sheet TERM 9 manufacturing overhead budget DEFINITION 9 A detailed plan showing the production costs, other than direct materials and direct labor, that will be incurred over a specified time period TERM 10 Master budget DEFINITION 10 a number of separate but interdependent budgets that formally lay out the company's sales, production, and financial goals and that culminates in a cash budget, budgeted income statement, and budgeted balance sheet