PRINCIPLES OF MANAGERIAL ACCOUNTING (FIA2102) FALL 2020 (ASSIGNMENT) WEIGHTAGE 20% Budgeting in any business concern is the process of creating a plan to spend your money. Creating this spending plan allows you to determine in advance whether you will have enough money to do the things you need to do or would like to do. It is an important planning and forecasting process to help you manage your money by balancing your expenses with your income. Budgeting is simply balancing your expenses with your income. If they don't balance and you spend more than you make, you will have a problem. Many people don't realize that they spend more than they earn and slowly sink deeper into debt every year. If you don't have enough money to do everything you would like to do, then you can use this planning process to prioritize your spending and focus your money on the things that are most important to you Requires to do: 1. Business uses different methods of valuations to plan their Income and Expenditure. One of the very important tool of estimating financial requirement is budgeting: Comment your answer with explanation on different financial budgets normally a business prepare for their cash inflow and outflow. 2. Select a company of your own choice from UAE and download its Income statement for a period of 3 years. Based on the selected Income Statement, analyze the increase or decrease in each items of the statement and prepare a Budgeted Income Statements for the period of next 3 years on income statement. The base of the percentage of change or estimation can be calculated from each item on the yearly fluctuation of the selected statement. Students are required to follow the following guidelines for submission of the assignment: This is an individual assignment. You are required to use your core text book especially on page No. 1074 and other resources including the websites. Use references wherever applicable. Follow the structure given below and list the references you used to answer the assignment. It is a group assignment. Each group can consists of only three students. If anyone wants to do the assignment individually, you are welcome and encouraged Submission deadline would be the 22nd November, 2020; any delay in submission would attract penalties. Submission should be through Turnitin. The Structure to be followed: Introduction Important financial budgets prepared by the Business Analysis of selected income statement for the estimation of changes Preparation of budgeted Income statement Conclusion References O