Budget and Budgetary Control Practices

4064 Words Sep 9th, 2012 17 Pages
CHAPTER I

1.1 INTRODUCTION
Budget and budgetary control practices are undeniably indispensable as organizations routinely go about their business activities and operations. These organizations are constantly on the alert on how actual levels of performance agree with planned or budgeted performance. A budget expresses a plan in monetary terms. It is prepared and approved prior to a particular budgeted period and explicitly may show the income, expenditure and the capital to be employed by organizations in achieving their goals and objectives.
Budgeting control practices are then devices that organizations use to regulate their budgets. The controls are mostly comprehensive systems of budgets that aid management in carrying out its
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During the celebration of Ghana’s 50th anniversary in 2007, UT won a Gold Award for contribution to the Social and Economic Development of Ghana. For two years running UT Bank was recognized as the fifth best company in the Ghana Club 100 having won the Best Non-Bank Financial Institution (2008, 2005, 2004 and 2003) by the Ghana Investment Promotion Center (GIPC) in its Club 100 rankings which represent the top 100 companies in Ghana.

1.5 STATEMENT OF PROBLEM
Budget and budgetary control practices though very essential to meeting organizational goals, are mostly hastily and improperly prepared. This eventually leads to unfulfilled budget and budgetary control practices.
This major problem has necessitated this study to actually sensitize organizations about the need to make sure that proper budgets and budgetary control measures are put in place to help meet organizational goals.
1.6 OBJECTIVES OF THE STUDY
The objects of our study are as follows; 1. To find out what constitutes the company’s budgets. 2. To find out the challenges faced in budget and budgetary control systems.
1.7 SIGNIFICANCE OF THE STUDY
This project seeks to bring out the budgeting and budgetary control practices of UT financial institution, Koforidua, and how they can make sure their budgeting practices are done in such a way as to incur minimal or less cost for the organization
Also, it seeks to give measures of effective control practices
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