Task 1.
Some types of budgets that are needed by ACA Agency include master, departmental, operating and financial budget.
A master budget is a set of company’s budget which presents a complete picture of its financial operations and health. The overall budget combines elements such as revenue, operating expenses, assets, and income streams to allow companies to set goals and evaluate their general effectiveness.
A departmental budget helps to predict the income and expense of a particular department to achieve its financial goals. A departmental budget allows the company to analyze the costs and expenses associated with a particular department and whether the company's income is sufficient to meet these costs. Moreover, it allows management
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Typically, there are two main sources of information that play a major role in budgeting communication, namely written and oral elements. Although oral communication helps to spread the information faster, companies usually use written resources, such as documents, to inform about the budgeting process. The reason for this situation is that the company wants to ensure that that information is stored and easy to reach and to modify.
External communication includes email, brochures, newsletters, posters, advertisements, and other forms of multimedia marketing to attract customers, partners and suppliers. Unlike the main purpose of internal communication is notified and explaining policies and procedures for company’s employees, external communication focuses on sales promotion and publicity, generate sponsorship, announce events, products or services and support branding. For example, ACA can notify its employees via a specific communication system, such as bulletin boards or email. However, to contact the customer, they need to make an advertisement or via social
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The hierarchy of a given hierarchy of organizations gives out all the guidelines under which the budget will be made. They outline the financial goals that the budget should maintain. Moreover, the guidelines related to sales budget, compensation, etc. are all issued by management. Lower level management will be involved at least in the budgeting process. They only participate in the implementation of these guidelines. The budget will be positive for the growth of the organization. Hence, it is possible to accelerate the finalization of the budget plan for direct application to business, resulting in faster profits (VAIDYA,