Question

explain design characteristics of budgeting

Answer #1

Desingning of budgeting are as follows

- First we Set our goal
- Then Calculate money we earn after taxes per month
- Calculate total expenses
- Divide your budget with various heads
- List all your spending for each heads
- Add all spending money of all heads
- Decide on a method of budgeting
- Set up your ledger
- Add all earnings
- Last is make adjustments.

Now characterstics of budgeting are as follow:-

1. Budgeting is to be done on the basis of future estimates

2. Budget should be flexible in nature which helps to make changes in future.

3.It is based on a objectives that is to be achieved in future

4.It is a statement that is to be prepared for the execution of policy

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