Create an accounting question (100 words) using either a math or discussion style, using the topic benchmarking and budgets

Budgeting is " the process of planning future business actions and expressing them as formal plans" (Wild, 2019). In plain English, that means that the budget mathematically shows what a company wants to achieve for their year; be it larger sales, less overhead cost, or shrinking the size of the accounts payable. A company sets a lofty goal and then the employees get to work on making that goal a reality. The difficulty at this point is to keep everyone focused on that lofty goal and make it attainable. This is where benchmarks come in. Much like a giant thermometer at a fund raising event, benchmarks break up the larger goal into smaller parts so that they are easier to manage and achieve. These benchmarks can be measured through the year at different intervals to show how on target to the budgeted goal the company is and to compare progress to the previous intervals. If it becomes clear early on that the strategy laid out is not working based on the benchmarks, then it provides an opportunity for the company to review and change their applied strategy.