The chair of the budget committee at your company, Richard Jones, has come to you, the CFO, to discuss improvements to the budgeting process for the company. In years past, many employees have not "bought in" to the budgeting process and Richard wants to do everything possible to make sure all employees of the company work together to design and implement the very best budget possible. Richard is asking you, along with the other executives in the company, to explain the budgeting process, the benefits of budgeting, key components of a master budget for a manufacturing company, and an effective implementation method of a budget.

Required: Write Richard a memo discussing these areas. Make sure to include components of the master budget in your discussion.