FIN MDL - PRELIM

is a quantitative representation of a company's past, present, and future business operations.

is expressed through the use of accounting-the  language of business.

the  language of business.

which may be broadly defined as the science of managing money and other assets, is based on accounting.

integrates all of the components of a Master Budget into a working model of a company's planned financial activities for a given time period. As this represents a significant amount of information, the components of a financial model are presented in several figures.

focuses on the Budgeted Income Statement and its supporting  components and schedules-these items

represents one of the first steps in the budgeting process, as items such as inventory levels and operating expenses are driven off of this Budget.

decomposes, or breaks down, the components of a business's cost of goods sold (in some cases referred to as the cost of revenues). This budget breaks out each separate factor underlying the cost of goods sold for a business.

which represents what a business plans to buy and how much inventory it intends to hold over a given timeframe, is based on three factors: a business's desired ending inventory, cost of goods sold, and beginning inventory.

forecasts all of the elements of a business's operating expenses, such as salaries, rent, depreciation, and others.