budget constraint(s)	budgetary slack
cash cycle	controllable cost
investment budget	operating cycle
rolling budget	self-liquidating cycle

Use the terms from the list to complete the following sentences:

1) A ______ also known as a(n) ______ is the movement of cash arising from business functions to inventories, to receivables, and back to cash when outputs are sold. It is a(n)________where all costs of a corporation are recovered when output is sold. __________ is the practice of underestimating revenue and overestimating costs to make the ___________ less challenging.

2) Once the corporate budget is produced, all managers make a commitment to reach budget targets. They are responsible for __________ that must be at or below the budget constraint during each reporting time period. Some companies produce a(n) ________ that adds a reporting time period as one is completed. A(n) ________ affects the inflow and outflow of cash either to make the investment or to pay to finance it.