What is a budget?

Answer the following questions from chapter 7, Finance for Managers. Submit to me via Canvas.

1. What is a budget?
2. What is a fixed budget?
3. What is a disadvantage of a rolling budget?
4. What is a zero based budget?
5. Why is the cash budget important for the firm’s financial managers?
6. Using the Simplified Cash Budget on page 127, answer the following

a. What is the ending cash balance for Dec?
b. What are the total inflows for Jan
c. What is the difference between Total Inflows and Total Outflows
d. In March, at row Cash Surplus or Deficit there is a (181). What does this mean?
e. How is the Ending balance of cash arrived at?

7. What are the steps to build a cash budget?
8. List five tips for effective budgeting.