Business Budgeting

Paper Code: 
ABF 302
Credits: 
03
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

This course will enable the students to

The objective of this course isto familiarize the students with various concepts of budgets and to learn different methods of preparing various types of budgets

Course Outcomes (COs):

 

Course

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

Paper Code

Paper Title

ABF 302

Business Budgeting

CLO79    Understand the basic the budgets, their types and budgetary control.

CLO80    Evaluate and preparation of flexible budget, fixed budget and sales budget.

CLO81    Assess and calculation of different types of functional budgets and understanding the difference between finance budget and cash budget.

CLO82    To enable students to do analysis of different budget variance.

CLO83    Demonstrate knowledge regarding zero base budgeting and performance budgeting.

 

 

 

Approach in teaching:

Interactive Lectures, Discussion, Tutorials, Reading assignments, Demonstration

 

Learning activities for the students:

Self learning assignments, Effective questions, Seminar presentation, Giving tasks

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

8.00
Unit I: 
Business Budget, Budgeting & Budgetary control

Business Budget and Budgeting: Terminology of Budgets, procedure, significances & limitations of Budgeting.
Budgetary control: Meaning, features, process of Budgetary Control.

8.00
Unit II: 
Types of Budget:

Types of Budget: Classification of Budget, Methods of preparing flexible budgets, difference between fixed and flexible budget.
Functional Budgets: Meaning, Procedure for preparation of Sales Budget

12.00
Unit III: 
Functional Budgets

Functional Budgets: Production Budget, Material budget, Master Budget and Cash Budget, Difference between cash budget and finance budget.

10.00
Unit IV: 
Standard Costing & Analysis of Budget variances

Standard Costing: Meaning, Objectives of Standard Costing, Difference between budgetary control and standard costing. Establishment of a standard costing system.
Analysis of Budget variances: Meaning, objectives of variance analysis. Material, Labour variances, Sales variance

7.00
Unit V: 
Zero Base Budgeting & Performance Budgeting

Zero Base Budgeting: Origin, Concept, Advantages & Limitations
Performance Budgeting: Meaning, Features, Importance & limitations

Essential Readings: 

• M.R. Agarwal, “ Business Budgeting” Garima Publications, Jaipur
• Agarwal, Vijay, Surolia, “Business Budgeting” Ramesh Book Depot” New Delhi- Jaipur
• S.N Maheshwari, “ Management Accounting and Control” Sultan Chand and Sons, New Delhi

References: 

• M.Y.Khan and P.K.Jain, “Management Accounting” Himalaya Publishing House, New Delhi
• Jawahar Lal, “ Accounting for Management” Himalaya publishing house, New Delhi.
• Owswal, Sharma, “ Business Budgeting” Kailash Book Depot” Jaipur

Academic Year: 
2020-2021
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