2011年ACCA考试《F5业绩管理》讲义（82）
1.2 Rolling budgets A budget kept continuously up to date by adding another accounting period (e.g. month or quarter) when the earliest accounting period has expired.Aim: To keep tight control and always have an accurate budget for the next 12 months.
Suitable if accurate forecasts cannot be made, or for any area of business that needs tight control.
Advantages of rolling budgets:
§ the budgeting process should be more accurate
§ there should be much better information upon which to appraise the performance of management
§ the budget will be much more ‘relevant’ by the end of the traditional budgeting period
§ it forces management to take the budgeting process more seriously.
Disadvantages of rolling budgets:
§ they are more costly and time consuming
§ an increase in budgeting work may lead to less control of the actual results
§ there is a danger that the budget may become the last budget ‘plus or minus a bit’
Illustration 2 – Approaches to budgeting
A typical rolling budget might be prepared as follows:
1 A budget is prepared for the coming year (say January – December) broken down into suitable, say quarterly, control periods.
2 At the end of the first control period (31 March) a comparison is made of that period’s results against the budget. The conclusions drawn from this analysis are used to update the budgets for the remaining control periods and to add a budget for a further three months, so that the company once again has budgets available for the coming year (this time April – March).
3 The planning process is repeated at the end of each three-month control period.
Test your understanding 2
A company uses rolling budgeting and has a sales budget as follows:
Quarter 1
$Quarter 2
$Quarter 3中华考试网
$Quarter 4
$Total
$
Sales125,750132,038138,640145,572542,000
Actual sales for Quarter 1 were $123,450. The adverse variance is fully explained by competition being more intense than expected and growth being lower than anticipated. The budget committee has proposed that the revised assumption for sales growth should be 3% per quarter.
Update the budget as appropriate.
页:
[1]