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The static budget amounts do not change. This budget serves as a useful tool for controlling costs. Cash budget is a financial budget prepared to calculate the budgeted cash inflows and outflows during a period and the budgeted cash balance at the end of the period.

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In flexible budget budgeted figures can be changed according to the level of activity.

Cash budget and flexible budget. Exercising control over cash and liquidity of the firm. Cash budget is an estimation of the cash inflows and outflows which can be done either for business or individual. I already have the answer for the Section A and Section B.

Flexible budget is a budget in which the expenses adjust to the level of sales or output - in contrast a fixed budget is one which does not vary with the level of sales or output. The figures from January 2016 onward are estimated. On the other hand a flexible budget is one which varies with the level of activity as variable costs for a firm vary during given period.

This budget is very useful for the top management of the company because it covers all the information in a summarized manner. According to CIMA London- A flexible budget is a budget designed to change with the level of activity actually attained The other names used for flexible budget are variable budget and sliding scale budget. Flexible Budget.

Definition of Flexible Budget. The hospital is noted for its three fine programs. A financial budget consists of the cash budget the budgeted balance sheet and the budget for capital expenses.

B Flexible Budget with Standard Costing. If flexible budgetary control is followed along with Standard Accounting it is possible to determine the flexible budget allowances for fixed overhead. Flexible means easily adjustable and Budget refers to an anticipated plan made for the financial activities of the entity.

Similar to the individual budgets that make up the operating budgets the financial budgets serve to assist with planning and monitoring the financing requirements of the organization. Number of golf rounds. In other words cash budget involves a projection of future cash receipts and.

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