Flashcards in Chapter 4 Deck (12):
The process of allocating scarce resources among unlimited demands
an official dollars and cents plan of operation for a specific period of time
Management plans in both businesses and governments
laws in governments
Legally Enacted Budgets
Legal authorizations to incur expenditures for various purposes that also limit legal authorization for incurring expenditures for specific purposes
Legally approved levels of expenditures
Expenditure authorizations in the budget are based in part on ____.
estimates of revenues to be raised during the budget year
If revenues appropriated do not materialize, the government typically must ____.
reduce its appropriations and expenditures to avoid a deficit at year end
The operation of the General Fund of a Governmental Unit begins with the ____.
Official legal adoption of the budget
The legally adopted appropriations and revenue estimates 0 which are now laws - require which general ledger budgetary entry?
Estimated Revenues 427,000
Budgetary Fund Balance 4,000
What account is used to record the budgeted increase or decrease in fund balance?
Budgetary Fund Balance