Budgetary Planning

Questions: 1.Will your budget work for you? 2.Have you included saving some money for a big purchase or your future education? 3.What surprised you? 4.What did you learn about your spending habits? 5.What do you need to change and why? 6.How would you go about making these changes? Answers: 1. The budget has been prepared based on the proper format so it is likely to work. 2. Yes, expenditure such as Tuition fees of $ 300 and school expenses of $ 45 has been included saving some money for a big purchase related to the future educational services. 3. The high amount of rent amounting to $1500 has been identified as the most surprising factor. 4. The spending habit has been seen in terms of Vacations, in this the actual amount has been observed to $ 400. The expenses related to the Movies/Performances/Concerts have been seen as $ 150. 5. The various types of the changes can be directly related to the cost cutting activates. The main aspects related to the cost cutting can be directly related to reducing the rent and the vacation cost. It can be clearly seen that the difference in these section is increasing in nature (2). 6. The main strategies can be related to the reduction in the cash flow margin and using various types of the techniques related to the cost reduction analysis. The strategies related to the cost reduction can be also done in reducing the rent (1). References Thompson, M. P., Calkin, D. E., Finney, M. A., Gebert, K. M., Hand, M. S. (2013). A risk-based approach to wildland fire budgetary planning.Forest Science,59(1), 63-77. Weygandt, J. J., Kimmel, P. D., Kieso, D. E. (2015).Financial Managerial Accounting. John Wiley Sons.