Answer

Public Health

Budgeting entails the process of creating that is instrumental in creating a plan on how to spend money. The spending plan allows individuals to have an advanced determination on whether the available money is enough to accomplish the intended purpose. As such, budgeting normally entails the balancing of future expenses concerning the current income. Accordingly, Heald et al. (p788) argued that a budget estimates the expenses and revenue of a period in the future. A budget is usually reevaluated and compiled based on periods to a group of people, individuals, governments, and businesses. As such, statistical, operating, cash, and capital are some of the four types of budgets.

Statistical budgets often help financial managers analyze and budget to reflect the budget rather than adjust the budget that matches the needed actual spending. Statistical budgets are used to anticipate and calculate values before beginning a given financial period (Dabbicco et al., p127-129). Statistical budgets are often used to plan the outflow and inflow of figures that arise from every business unit, project, and department to give desirable data that can apply in the direct measurement of performance in adherence to the budgeted revenue and expenses. An operating budget entails the expenses and revenues over a given period that a government, organization, and corporation uses to plan its operations. The operating budget is prepared before the reporting periods of goals that the business intends to achieve.

A cash budget estimates the cash flow of a given business over a very specific period. As such, it is based on a monthly, weekly, quarterly, and annual budget. Most businesses also use the capital budget to determine the proposed fixed assets and the purchases which side be accepted and declined. The process of the capital budget is applicable in the creation of qualitative views regarding proposed asset investment.

In conclusion, budgeting is the process that entails the projection of future expenditure. Most companies and organizations normally use the budget to control the finances of their business in a way that ensures that the business can fund its intended purpose.