Budgeting and Planning

• The Budget and the Functions of Management
• Budget as a Planning Tool
• Budgets and the Key Financial Statements
• Top-Down versus Bottom-Up Process
• Making the Budget a Value-Added Activity
• The Master Budget and its Components
• Operating and Capital Budgets

Budget Process and Approaches

• Identifying Cost Elements and Items Needed
• Creating a User-Friendly Template
• Choosing the Proper Budgeting Approach:
  • Incremental Budgeting
  • Zero-Based Budgeting
  • Flexible Budgeting
  • Kaizen Budgeting
  • Activity-Based Budgeting
  • Rolling (Continuous) Budgets & Forecasts

Forecasting Techniques

• Qualitative and Quantitative Methods
• Linear and Non Linear Relationships
• Time Series and Trend Analysis
• Regression and Multiple Regression Analysis
• Smoothing the Data and Using Averages

Advanced Capital Budgeting Evaluation Techniques

• Cash Flow Estimation
• Analyzing Investment and Operating Cash Flows
• Time Value of Money Concept
• Cost of Capital
• The Required Rate of Return
• Net Present Value (NPV)
• Internal Rate of Return (IRR)
• Modified Internal Rate of Return (MIRR)
• Profitability Index (PI)
• Pay-Back Period
• Discounted Pay-Back Period
• Mutually Exclusive Projects
• Capital Rationing
• Comparing and Evaluating Techniques
• Sensitivity and Risk Analysis

Breakeven Analysis

• Using Breakeven Analysis in the Budgeting Process
• Single Product Breakeven Analysis
• Multiple Products Breakeven Analysis
• Optimizing Resources and Working with Budget Constraints

Management Budget Reports

• Tracking the Budgets
• Budget as a Control Tool
• Variance Analysis