Financial Analysis : Financial Management

1125 Words Nov 1st, 2015 5 Pages
According to Buchbinder & Shanks (2012, p. 204), cash budget defined as “the necessary step that allows the organization to determine how to optimize the value of the cash being generated by its operations. More interestingly, this also defined as a forecast of cash inflows, cash outflows and net lending and borrowing needs for the months ahead”. From the point of what I understand the discussed definition of a cash budget, it looks like similar to operating budget however, there is a certain difference. A cash budget is simply a forecast of the operating budget. It looks both cash inflows and outflows as well as lending and borrowing needs in an organization. Managerial accounting provides financial data for an internal process which is mainly used by managers, executives and other governing boards of the organization (Buchbinder & Shanks, 2012, p. 184). Using the managerial accounting data, I utilize Chief Financial Officer (CFO) (is the one who is responsible for the entire financial management function of the organization) department, the controller (who is responsible for the accounting and reporting functions, including record keeping). In addition, I utilize the treasurer of happy town neurology (who is responsible with the stewardship of the organization’s financial assets, including cash management, commercial bank relations, investment portfolios, management of pensions or endowment funds, capital expenditures, management of working capital,…
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