1. Budgeting Concepts, Policy, Process and
Beyond - Session ONE

2. Section 1 – Budgeting Concepts Page
Budgeting VS. Accounting 4
Budget Definition 5
Advantages of Budgeting 6
Disadvantages of Budgeting 7
Uses of Budget 8
Why Plan? 9
Understanding Where Your Budget Fits In 10
Why Budget? 11
Decision Making 12
Budget Committee Decision 19
Budget Period Decision 20
Parts of a Budget 21
Types of Budgets 22
Ratio Analysis 29
Budgeting Tips and Tricks 36

3. Understanding Where Your Budget Fits In
Your budget should flow down from your company’s plan, like this:

4. Types of Budgets
Capital
Budget
Sales Cash
Budget Budget
Main Types of
Budget
Production Expense
Budget Budget
Labor
Budget

5. Ratio Analysis (3/7)
Current Ratio
Quick Ratio

6. Ratio Analysis (4/7)
Debt Ratio
Gross Profit Margin

7. Ratio Analysis (5/7)
Return on Sales Ratio
Debt to Net Worth Ratio

8. Ratio Analysis (6/7)
Cash Turnover Ratio
Collection Ratio

9. Ratio Analysis (7/7)
Return on Investment

10. Section 2 – Budgeting Policies and Procedures Page
Budgeting Procedures - Intro 40
Formulation of the Budget 41
Budget Variance Reports 47
Subsequent Account Changes 49
Budgeting Tips and Tricks 52

11. Section 3– Budgeting Process Page
Definition Of Budgeting Process 55
The 6 Steps Of a Budgeting Process 56
Where Can You Get your Numbers From? 71
Getting Your Budget Approved 74
Monitoring and Managing Budgets 75
Budgeting Tips and Tricks 77

12. The 6 Steps Of a Budgeting Process
The budgeting process typically has six steps.

13. Thank You For Coming Today!
Facilitator: Antoine Tabbakh
Tel: +961 1 385 825 / website: www.bsf-lb.com
Email: info@bsf-lb.com
/BestSolutionFinance Company/bsf #bsfbeirut