Page 204 - F1 - AB Integrated Workbook STUDENT 2018-19

Chapter 13

3.3 Budgets

Once the costs per unit have been identified, it should be possible to produce a
budget.

This shows the total planned revenues and costs for our business for the
coming period.

Budgets are useful for several reasons. A useful memory jogger is the acronym
CRUMPET.

 Co-ordination

 Responsibility

 Utilisation

 Motivation

 Planning

 Evaluation

 Telling

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