ECONOMICS

Detailed explanation-1: -A cash budget is a company’s estimation of cash inflows and outflows over a specific period of time, which can be weekly, monthly, quarterly, or annually. A company will use a cash budget to determine whether it has sufficient cash to continue operating over the given time frame.

Detailed explanation-2: -A projection of future flows of cash is called a cash flow budget. You can think of a cash flow budget as a projection of the future deposits and withdrawals to your checking account. A cash flow statement is not only concerned with the amount of the cash flows but also the timing of the flows.

Detailed explanation-3: -A typical cash flow budget predicts the anticipated cash receipts and disbursements of a business on a month-to-month basis. However, a cash flow budget could predict the cash inflows and outflows on a weekly or daily basis.

Detailed explanation-4: -A cash budget is a document that estimates a business’ cash flows over certain periods, such as weekly, monthly or annually. Finance professionals often use these budgets to determine whether their company has enough money to cover its operations during the period.

Detailed explanation-5: -The three types of budgets are a surplus budget, a balanced budget, and a deficit budget. The state budget is a financial document including income and expenditure for the year. An income-and expense-based spending plan is referred to as a budget.