Specifics of Accounting Budgeting in Agrarian Company

T. ROUPSKA

Abstract: The purpose of the paper is to examine and present the budgeting as a process in management accounting and propose theoretical models of operating budgets applicable in agricultural enterprises. These models are developed on the basis of a study of plant-growing and livestock production. It’s used the methods of monitoring, analysis and synthesis, comparison, historical method, deduction and induction to examine the object. Budgeting is a process in management accounting. It’s helps to manage the enterprise and helps to achieve better business results. The budget is a financial plan. Budgets are both planning tools and performance evaluation tools. They are usually prepared prior to the start of the period being budgeted. Each budget applies for a relevant period. The budget is a tool for more rigorous and continuous control. The paper examines different types of budgets and possibilities for application in agricultural companies. The budgets are classified according different classification features. Annual budgets are unsuitable for use by agricultural enterprises, because the production cycles of the various agricultural productions are different. There are some specific features in the cash flow budget and capital budget in agricultural enterprises. The operating budgets in agribusiness are specifics because specifics of agricultural activities reflect in them. We examine the operating budgets in agribusiness in present article. Models of the operating budgets applicable for plant-growing and livestock production are present in the paper in a theoretical aspect.

Keywords: budget; budgeting; management accounting; operating budget

Date published: 2024-09-05