ECONOMICS

Detailed explanation-1: -Budgetary control is financial jargon for managing income and expenditure. In practice it means regularly comparing actual income or expenditure to planned income or expenditure to identify whether or not corrective action is required.

Detailed explanation-2: -A static budget–which is a forecast of revenue and expenses over a specific period–remains unchanged even with increases or decreases in sales and production volumes.

Detailed explanation-3: -What is a Fixed Budget? A fixed budget is a financial plan that is not modified for variations in actual activity. It is the most commonly-used type of budget, because it is easier to construct than a flexible budget.