Finance and Accounting for Managers Growth of the Business Organizati

Question: Discuss about theFinance and Accounting for Managers forGrowth of the Business Organization Answer: Developing a perfect budget would assist the management to create a pre-determined operating strategy for the growth of the business organization. As such, I would not agree with the notion that developing a budget is a waste of time. According to Bierman and Smidt (2012), budget ensures that there are enough funds to cater to the daily operational activities of the business. A budget plan shall be able to assist the business organization. The budget is a significant part of the operational policies of a business enterprise (Gonalves 2014). A budget plan would ensure that the business organization shall have enough internal financing and would not have to bother with external financing of the organization. The value of budgeting in the business organization can be assessed through its financial expenditures in the business enterprise. According to Dellavigna and Pollet (2013), the budget statement reflects the operational and the financial operations of the business enterprise. Thus, the budgeting guidelines in the organization shall have a large influence on the operational and the financial operations of the business. In this regard, Gonalves (2014) noted that the budget helps in predicting the future financial condition of the business. Therefore, it can be said that the budgeting requirements also relates to the financial expenditures of the business entity. As such, the brand has to be required in maintaining the budgeting techniques of the business organization. In this regard, it can be said that a budget plans assists the business enterprise in the following ways: Facts: Budgets assist the business enterprise to present the facts in an essential manner to depict the operational and the financial operations of the business enterprise in the future accounting period (Bierman and Smidt 2012). The facts of the budget also state the necessary financial and the operational needs of the business organization. Restrictive Expenditures: The budget prepares a guideline that restricts the operational expenses of the business enterprise. The restricted capital required by the business enterprise would enable the business enterprise to strengthen the financial resources of the business enterprise. Future Financial Plan- Gtze et al. (2015) mentioned that the financial plan prepared by the business enterprise would assist the business enterprise to execute their operations in a pre-planned manner. The future financial plans shall also include the existing financial condition of the business enterprise Considerations- The considerations would include the software resources of the organization for assessing the accounting and the financial resources of the business enterprise. As such, the software budget shall have the budgeting module to assess data as per the expenses in the business enterprise. Roberts and Michael (2013) mentioned that the use of information technology has been useful in determining the budget of the organization, thereby, reducing the time and the effort that would be required in preparing the budget manually. The consideration also reflects in identifying the discrepancies in the budget. As such, the budget would be able to identify the future operational expenses of the budget and therefore be able to create a structured plan for the organization. References Bierman Jr, H. and Smidt, S., 2012.The capital budgeting decision: economic analysis of investment projects. Routledge. Dellavigna, S. and Pollet, J.M., 2013. Capital budgeting versus market timing: An evaluation using demographics. The Journal of Finance, 68(1), pp.237-270. Gonalves, S., 2014. The effects of participatory budgeting on municipal expenditures and infant mortality in Brazil.World Development,53, pp.94-110. Gtze, U., Northcott, D. and Schuster, P., 2015. Capital Budgeting and Investment Decisions. In Investment Appraisal (pp. 3-26). Springer Berlin Heidelberg. Roberts, D. and Michael, R., 2013. Topic 6: Investment Decisions and Capital Budgeting.