Question

Describe (80 to 100 words) how you could negotiate recommendations for necessary changes to agreed budget allocations in advance of requirements (Please answer in Australian Accounting Environment && please type up your answer)

Answer 1

Solution:

Budget is the future forecasting which helps the management to take various business decision to run the business smoothly and effectively. Budget process helps to find out the areas where the improvement is required and the recommendation is made according with the same. To negotiate the same, the weak area should be identified first and then require control should be imposed on the same. Also the business strategic decision should be taken by the management after considering the past years data and make the budget process more effective. So that it will increase the profitability of the business.