A National Budget estimates how much it costs to run a country, it also allocates amounts to the different departments or provinces and monitors them. In order for these costs to be estimated and financial needs to be delivered in each allocated area, there are key role players that make it possible.
According to A Peoples Guide to the Budget (2008;#) the National budget is an annual statement by the minister of Finance in Parliament, explaining how much money the Government expects to raise through taxes and borrowing, and how much it plans to spend on services such as health care, schools, clinics, police and peace keeping and other needs – for the benefit of all South Africans.
According to Unit 3 (2005:1), understanding the way budgets
…show more content…
INTERNAL ROLE PLAYERS
An internal role player can be described as someone who carries out different key responsibilities within a specific department. According to Business Dictionary (2016:1) a role player is a person with specifically assigned tasks or functions within a program, project, or process. The details of internal role players and their roles in budgeting are discussed below:
Responsibility Manager
A responsibility manager is somebody who is assigned a certain ‘responsibility’. Collins Dictionary (2012;) defines responsibility as a person or thing for which one is responsible; having control or authority [over].
Pauw et al (2005:66) further defines a responsibility as the smallest organizational entity for which budget input is compiled within a spending agency, for example a government department. A responsibility in this context can be a specific hospital, a region or even a school, making a responsibility manager a hospital superintendent, a director or a principal of a school. A responsibility manager will manage the processes of the budget and financial structures within the
…show more content…
Accounting Officer
The accounting officer according to Pauw et al (2005:70), is responsible for administration of state funds under the control of the department. Their functions are to identify services to be rendered by the institution. An accounting officer can also be the Municipal manager of a municipality.
The duties of an accounting officer according to the University of South Africa (2009; 60) are the following; they must identify services to be rendered by the institution, ensure that services rendered are economic, efficient end effective, prioritize the needs of clients, prepare
1. Identify the specific circumstances under which auditors are allowed to provide confidential client information to third parties. According to ET Section 391.004, an auditor would be violating Rule 301.01 if the information is considered to be confidential client information, unless the auditor has the clients' specific consent, preferably in writing, for the disclosure or use of such information. “A member in public practice shall not disclose any confidential client information without the specific consent of the client” (AICPA § 301.01).
Responsibility centers are put into place to control costs by looking at the revenue and the expenses to minimize the overall costs. There may be managers in responsibility centers overseeing certain services rendered by the organization, but there will be a manger of a larger responsibility center reviewing and being responsible for all those responsibility
The overall budget combines elements such as revenue, operating expenses, assets, and income streams to allow companies to set goals and evaluate their general effectiveness. A departmental budget helps to predict the income and expense of a particular department to achieve its financial goals. A departmental budget allows the company to analyze the costs and expenses associated with a particular department and whether the company's income is sufficient to meet these costs. Moreover, it allows management
Every year the United States government has to agree on a federal budget for fiscal policy. The federal budget breaks down how and on what the country’s revenue will be spent. The budget is divided into several parts, including military spending, veteran benefits, health and science, education, transportation, etc. The national government sets aside approximately fifty-four percent of the federal revenue for military expenses such as guns, tanks, ammunition, etc. These expenses do not include the pay of those who serve in the military.
Standardizing and Systematizing each of these processes has been a work in progress over the last year, and in some cases, are still under development. Budgeting processes have been a primary concern due to our non-profit status and the need to maximize financial efficiency and impact. Our budgeting processes has been refined by standardizing expenditures (stipends, operational budgets), allocating discrete sums for specific purposes (gear, apparel), and tracking/assigning costs (proper identification of expenses and establishing team accounts to track expenses). Budgeting is an area that has improved and will continue to improve as across the organization as the mentoring programs begin their standardization process. As the budgeting data increases and improves, we will be able to identify expenses which yielded the best results as determined by our agreed upon objective measures, enabling us to make better decisions about how we spend financial resources.
Entitlement spending refers to the funds used to provide Social Security, Medicare, Medicaid, and other welfare programs (Heritage Foundation, 2010). Over 20% of federal spending is spent on these types of programs and this number is expected to grow if reforms are not made (Heritage Foundation, 2010). According to the Heritage Foundation (2010), the main reason why entitlement spending must be checked on is because of its uncontrollable costs. There are different types of budget formats, but the purpose of all budget formats is to measure and permit accountability for performance or lack of performance in government (Lynch & Smith, 2004). For this reason, budgets include specific objectives, income and expenses for specific departments or
For example do they need to improve interdiction for quick success or easy conviction. Once they figure out what needs to be improved they must have a set of goals for each one. Making one set plan and tracking spending is the key to budgeting. Tracking spending will help see what the Spin and should there be a cut back. fixing expenses along with goals will help increase the success rate.
Within the department, the budget process involves the planning and analyzing formation. The department searches and examines the issues occurring and inputs them into the budget. The DDS has included issues of local assistance to regional centers at the department level. The central budget office prepares its initial recommendations to the department level, and later modifies the budget based on the department head’s decision. Central budget office determines and creates estimations based on revenues.
Analysis • This section is regarded as the most critical step in writing an effective accounting memo by bringing together the required facts of the research, any supporting authoritative literature, and an accountants overall evaluation before forming a conclusion. • Analysis includes information from relevant guidance, along with an accountant’s own words about how the guidance is applicable. • The memo should contain enough authoritative guidance that the user will not need to perform additional research in the Codification. • Make sure to utilize the concept known as the “guidance sandwich.”
Mullen (2014) was then analyzed regarding its content. 83 words Definitions of accountability were scrutinized before being utilised. In order for someone to be accountable they must have the ability to perform the task, accept the responsibility
Solution : Introduction: A budget is an estimation of particular commodity, quantity etc. It can be prepared for any number of days but generally it is prepared wither for a year or quarter... A budget may or may not become the actual outcome.
This data can be used to preparing the accounting statement and reports. (Fontinelle, 2017).Accounting Information System is used for to produce the external stories related to the financial statement, supported through routine activities, Decision Support and Planning and Control, Implementing internal control. Accounting Information roles are classified into External Auditor, Tax Accountant, Consultant and Internal Auditor, Business Analyst, Budget analysts, Financial Analyst, controller and Accounting Clerk. It is discussing the future, and current role of Accounting Information system is analyzing by accountant responsibility and financial
According to Averkamp (2016), “accounting is the recording of financial transactions plus storing, sorting, retrieving, summarizing, and presenting information in various reports and analyses”. Therefore knowing how to carry out these tasks
While, some of the functions that can be done in accounting are the recording of business transactions, preparing the payrolls, keeping the track of profit or loss, studying the industry trends and so
Income data (experiences, estimates of sales, fund rising, membership etc and planned activities). Data come from previous budgets, estimates, experience of others and public available statistics. I was also able to identify the main uses of accounting and these are as follow: Information All organizations need to keep records of their financial transactions so that they can access Information about their financial position, including: summary of income and expenditure, the outcome of all operations, assets and liabilities.