Akuntansi Manajemen Pertemuan 13 Penganggaran 1

Summary

This video lecture on management accounting explores the concept of budgeting and its importance for organizations. It covers the definition of a budget as a coordinated plan for future operations, the budgeting process, and the main objectives of budgeting, such as forecasting financial and non-financial events. Various budgeting systems are discussed, including incremental, zero-based, statistical, and flexible budgeting, each with its advantages and limitations. The lecture emphasizes the importance of accurate planning, coordination, and management involvement in ensuring budget efficiency and preventing waste or inefficiency in operations.

Takeaways

• 😀 Budgeting is a coordinated plan expressed in monetary terms to guide company operations and resource usage for a specific period.
• 😀 The purpose of budgeting is to forecast financial and non-financial transactions and events, and to provide meaningful information for decision-making.
• 😀 The main benefits of budgeting include serving as a planning tool, communication device, coordination mechanism, and control instrument.
• 😀 Limitations of budgeting include oversimplification of real-world complexities, focus on results rather than causes, and the risk of stifling management initiative.
• 😀 Incremental budgeting involves using the previous year's budget as the base, with adjustments made for expected changes, but it may lead to inefficiencies and waste.
• 😀 Zero-based budgeting requires reevaluating all expenses from scratch each year, ensuring resources are allocated based on actual needs rather than past budgets.
• 😀 Statistical budgeting is used in service-oriented companies and relies on fixed budgets that do not change throughout the year, regardless of actual activity levels.
• 😀 Flexible budgeting adjusts to changes in activity levels, allowing companies to forecast costs and adjust for varying production or service volumes.
• 😀 A Master Budget is a comprehensive financial plan that consolidates all departmental budgets into one cohesive financial strategy for the company.
• 😀 Operating budgets detail expected revenue and costs for operational activities, while financial budgets include cash flow projections and capital expenditure forecasts.
• 😀 Production budgeting should focus on minimizing inventory costs, avoiding lost sales due to unfulfilled demand, and reducing extra costs associated with special orders.

Q & A

What is the definition of a budget in management accounting?

A budget is a coordinated, comprehensive plan expressed in monetary terms, which outlines the operational activities and resource utilization of a company for a specific future period.

What is the main objective of budgeting?

The main objective of budgeting is to forecast transactions and events, both financial and non-financial, that will occur in the future.

What are the key benefits of budgeting?

The key benefits of budgeting include serving as a basis for planning, a tool for communication, a tool for coordination, and a means of control.

What are some limitations of budgeting?

Some limitations of budgeting are oversimplification of real-world complexities, focusing too much on results rather than causes, demanding full participation from management, and potentially reducing management initiative due to rigid targets.

What are the four types of budgeting systems mentioned?

The four types of budgeting systems mentioned are incremental budgeting, zero-based budgeting, statistical budgeting, and flexible budgeting.

What is incremental budgeting and what is its main advantage?

Incremental budgeting is a method where the current year's budget is based on the previous year's budget, adjusting for any expected changes. Its main advantage is its simplicity as it focuses only on adjustments or changes in resources.

What is zero-based budgeting?

Zero-based budgeting is a method where every department starts with a budget of zero and must justify the need for every expense from scratch, ensuring resources are allocated based on current needs and priorities.

What is the purpose of statistical budgeting?

Statistical budgeting is used by service companies and functions like accounting and legal departments. It involves creating a budget that remains fixed throughout the year, regardless of actual activity levels, with variances tracked as spending deviations.

How does flexible budgeting differ from other budgeting systems?

Flexible budgeting differs because it adjusts the budget according to actual activity levels, allowing for a more accurate comparison between actual and expected costs, especially in variable cost structures.

What is a master budget and what are its main components?

A master budget is a comprehensive financial plan that includes all the individual departmental budgets combined into one cohesive plan. Its main components include the operating budget and the financial budget, which together outline expected revenues, expenses, and financial projections.