What will be your answer if I ask you about the relationship between budgeting and financial forecasting? While both do play a crucial role in a business organisation, they also are completely different from each other. Both tools are useful in devising a plan for a firm. Budgeting helps in knowing where the management wants the company to be and financial forecasting is the tool with the help of which we get to know whether the management is heading towards the right direction or not.
FNSACC513: manage budget and forecast assignment is a sneak peek into the technicalities of these two imperative concepts in accounting and finance. In this blog, we shall ponder over this task in detail.
FNSACC513 Manage Budget And Forecasts Elements And Performance Criteria
Before starting to write these assignments, make sure you are aware of the elements involved in this unit. These are:
- Prepare budget
- Forecast estimates
- Document budget
- Monitor budget outcomes
How to Score Well in the FNSACC513 Assessment Task?
The assessment task that this unit covers is complex and gives a hard time to students. So, let’s dig deeper and talk about each of the three tasks that fall in the FNSACC513 assessment task.
FNSACC513 assessment task 1 is a set of written questions. The following are some of the questions that students have got in this assessment task. To explain all the key objectives of budgeting and forecasting, our finance assignment help experts elucidate these questions with the help of three examples of financial key performance indicators.
1. Task 2: Budget and forecasts preparation project
Some information is given in this assessment task. To analysing it properly, we first help students understand it and then decide the budget for the FNSACC513 assignment question.
This is a vast area that requires a lot of time and effort from students. The FNSACC513 assessment task 2 is a project preparation wherein budgets should be specified as per the requirements of the workplace, which at the end has to be expressed in a report form. When you have this report, you will automatically have all the skills to manage a team.
2. Task 3: Budget variance project
For this assessment task, first, our finance assignment help experts carry out calculations regarding sales, cost of sales, gross profit, promotional expenses, administration expenses, general expenses, and total expenses. Thereon, they study how the budget varies in this scenario.
FNSACC513 assessment 3 is the final task where you are required to draft a performance report on budget variance. This assessment task provides a closure to the entire assignment and gives students an opportunity to showcase their knowledge in this unit.
So, this was just a short brief on the three assessment tasks that fall under FNSACC513: manage budget and forecast unit. For a detailed and complete explanation of this assignment, simply contact our finance experts. We will provide you with comprehensive reference assignment solutions that would help you score well in this task.
5 Important Topics Under FNSACC513
Now that you know how we approach these assignments, it is time for you to know the most important topics in FNSACC513 that are covered by our assignment help team. These are:
- Statistical analysis and measures of variance
Statistical Variance can be understood as a measure of how a piece of data has spread itself over the expected or mean value. There are a number of uses of variance in the different fields, for example, it is used to analyse the relative performance of every asset in commerce in investing. Variance can be conceived as a key factor determining the risk and efficacy in the case when an investor buys specific security. The primary aim of statistical analysis is to recognise trends or patterns that can be anticipated to have a positive impact on business outcomes.
- Corporate governance
FNSACC513 Assessment tasks comprise at least one question based on this concept. The elementary definition for corporate governance can be stated as an ideal combination of regulations, laws, and policies based on which a business operates. It directly impacts the interest of companies’ stakeholders, Government Regulators, and management. Below I have listed certain principles of corporate governance, followed by most of the reputed organisations:
- Fair and equal treatment is mandatory for every stakeholder of the company.
- The companies’ board should responsibly reckon the extent of risk it is going to undertake in future years, which is a major part of accountability.
- Board of Directors should be held responsible for overseeing the management of the business and its operations.
- Organisational policies related to budgeting and forecasting
Moment a business starts functioning and becomes operational, the management of its financial resources becomes imperative. Organisational policies related to budgeting and forecasting are vital in order to scrutinize finance and efficiency. Preparing business plans directly impacts business profits as it helps in minimizing costs and thus brings an increase in the returns on investment. Organisational Planning immensely helps in enabling an organisation to focus on its long term targets, consequently providing it with a direction to help it evolve gradually. Some benefits of preparing organisational policies are:
- Help beat anticipated targets
- Efficient decision making
- Judicious use of financial resources
- Increase in returns
- Budgetary forecasting
Budgetary forecasting can be explained as a tool used by management to draft a plan concerning where exactly they want to head in the coming future years. Budgeting forecasting specifically measures the expectation to meet in terms of revenues. Bold attributes marked by budgeting forecasting are the company’s financial position, targets and most importantly cash flow. Due to unstable market conditions, budgeting can sometimes include goals that can be regarded as far-fetched and impossible to attain. Budgeting forecasting should go in hand with financial forecasting in order to bring out for appropriate results; Financial budgeting is the next subsequent step applied after budgeting forecasting.
- Milestones and key performance indicators
Budget can be the key source of motivation driving them because of which it should be tightly managed. Some of the performance indicators are listed for you:
- Profit: It is one of the most significant performance indicators; it enables people interested in a company such as stakeholders or investors to make a firm view about the company.
- Cost of goods sold: Finding the total cost behind the production of a product, helps a lot in forming a precise idea about the actual profit margin. This will make you aware of the intricacies involved in product production.
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All the important requisites have been explained briefly in the blog above. Along with the finest FNSACC513: manage budget and forecast assessment answers to students, My Assignment Services has also contributed immensely in bringing a smile on the faces of hundreds of finance students. If you too are looking for help with these assignments, then do contact us today and get your hands on the best solutions written by our finance experts.