BSBFIM601 Powerpoint Presentation

PowerPoint Presentation
Manage Finances
BSBFIM601
Introduction
This manual is divided into four Elements:
1. Plan for Financial

Management
2. Establish Budgets and
Allocate Funds
3. Implement Budgets
4. Report on Finances
Plan for Financial
Element 1:
Management
Element 1: Plan for Financial Management
Plan for Financial Management

Accounting is a set of concepts and techniques that
are used to measure and report financial information about
an economic unit.
The information is reported to a variety of different

types of interested parties.
Business managers need accounting information to make

sound leadership decisions.
Investors hope for profits that may eventually lead to

distributions from the organisation.
Creditors are always concerned about the organisation’s

ability to repay its obligations.
Governmental Departments need information to tax and

regulate.
Analysts use accounting data to form opinions on which

they base investment recommendations.
Employees want to work for successful organisations to

further their individual careers, and they often have
bonuses or options tied to enterprise performance.
Accounting information about specific entities helps

satisfy the needs of all these interested parties.
Financial accounting is concerned with external reporting

to parties outside the firm.
In contrast, managerial accounting is primarily concerned

with providing information for internal management.
The distinctions include:
• Financial Accounting
• Managerial Accounting
• A Quality System
• Inherent Limitations
The ongoing debate about fair value versus historical cost

is often cast in the context of a trade-off between the
‘relevance’ of fair value information and the ‘reliability’ of
historical cost information.
This debate is apt to continue, and the related accounting

standards will likely be in an evolutionary state for many
years to come.
Nevertheless, it is reasonable to expect that the

accountant of the future will be increasingly skilled in
valuation issues.
Review and Analyse Previous Financial Data to Establish

Areas which have Generated a Profit or Loss
Financial Probity
The Macquarie Dictionary defines the word ‘probity’

as ‘integrity, uprightness or honesty’.
Probity auditors provide an independent professional

service which improves the quality of information for decision
makers in both the private and public sectors.
The concept of probity is a critical one.
It must be evaluated within a context of values and norms

and it is relative.
Probity must reflect strong robust processes.
Probity ensures processes are not only compliant, but

also sound, efficient, competitive, equitable and directly
focussed on the outcomes sought.
Probity is a tool to be used to independently vet and

validate decisions, while also supporting successful
outcomes and improve bid competitiveness.
To ensure probity in your organisation:

• Establish, maintain and monitor minimum
policies and procedures.
• Train your staff on good probity practices.
• Be clear and concise in your documents.
• Focus on evaluating data for decision making
according to the information provided.
• Ensure those working in and with your organisation
understand the goals and requirements of processes.
• Always consider if any existing relationships
may, or may be seen to, bias the organisation in
any decisions.
Financial Data Analysis

Financial data usually includes:
• Budgets, Forecasts and Variations
• Cash Flow/Profit Reports
• Accrual vs Cash Accouting
• Converting Profit to Cash Flow
• Understanding Depreciation and Cash Flow
• Dealing with Changes in Various Financial
Items
• Financial/Operational Statements and Reports
• Market Valuations
• Trends
• Proportion Analysis
Users of Financial Data Analysis
There are a number of users of financial data analysis.

They are:
• Creditors
• Investors
• Management
• Regulatory Authorities
Methods of Financial Data Analysis
There are two key methods for analysing financial data.

The first method is the use of horizontal and vertical
analysis:
• Horizontal Analysis
• Vertical Analysis
Ratios
There are several general categories of ratios, each

designed to examine a different aspect of an
organisation's performance. The general groups of ratios
are:
1. Liquidity Ratios
2. Activity Ratios
3. Leverage Ratios
4. Profitability Ratios
Problems with Financial Data Analysis
While financial data analysis is an excellent tool, there

are several issues to be aware of that can interfere with
your interpretation of the analysis results. These issues
are:
• Comparability between Periods
• Comparability between Organisations
• Operational Information
Market Valuations
Market-based valuation is a form of stock valuation that

refers to market indicators, also called extrinsic criteria.
Many provisions of the laws administered by the

Commissioner of Taxation require a market value to be
determined.
For tax purposes, it is usually the valuation process

undertaken rather than who conducted it, which governs
the acceptability of the valuation.
However, some exceptions do exist for example, only a

professional valuer may undertake a market valuation for
GST margin scheme purposes or for determining non-
monetary consideration for GST purposes.
Budgets, Forecasts and Variations
Budgeting
Budgeting is the process of creating a plan to spend your

money.
This spending plan is called a budget.
Creating this spending plan allows you to determine in

advance whether you will have enough money to do the
things you need to do or would like to do.
Budgeting is simply balancing your expenses with your

income.
Budgeting allows you to create a spending plan for your

money. It ensures that you will always have enough
money for the things you need and the things that are
important to you.
To use your budgets effectively, you will need to review

and revise them frequently.
Two main areas to consider are the actual income and

actual expenditure.
1. Actual income
2. Actual expenditure
Analysing these variations will help you to set future

budgets more accurately and also allow you to take
action where needed.
Forecasting
A financial forecast is a financial plan or budget for your

organisation.
It is an estimate of two essential future financial outcomes

for an organisation – your projected income and
expenses.
You can create a cash flow forecast by adding income

and expenses as they are due.
The purpose of the financial forecast is to evaluate

current and future fiscal conditions to guide policy
decisions.
This will help identify future revenue and expenditure

trends that may have an immediate or long-term influence
on organisational policies and strategic goals.
An effective forecast allows for improved decision-making

in maintaining fiscal discipline and delivering essential
resources.
Organisation at all levels should forecast major revenues

as expenditures.
The forecast should extend several years into the future.
The forecast, along with its underlying assumptions and

methodology, should be clearly stated and made
available to stakeholders in the budget process.
It also should be concisely presented in the final budget

document. The forecast should be regularly monitored
and periodically updated.
The key steps in a sound forecasting process include the

following:
1. Define Assumptions
2. Gather Information
3. Preliminary/Exploratory Analysis
4. Select Methods
5. Implement Methods
6. Use Forecasts
Undertake Research to Review Reasons for Previous

Profit and Loss
A profit and loss statement (P&L) is a financial

statement that summarises your organisation’s revenues,
costs and expenses during a specific period of time, typically
a fiscal quarter or fiscal year.
The P&L statement provides information that shows

how your organisation can generate profit by increasing
revenue and reducing costs.
Every organisation must focus continually on

managing profit and loss to remain solvent.
Profit is the money an organisation keeps after paying all

of its expenses.
A loss results from expenses exceeding the amount of

sales an organisation makes in a specific accounting
period.
Organisations must manage their income statements,

also known as profit and loss statements, to keep
earnings positive and expenses under control and in line
with revenue.
Review Business Plan to Establish Critical Dates and

Initiatives that will Require or Generate Resources in the
Next Financial Cycle
Your business plan needs to be continually

monitored to make sure the objectives are being achieved.
This review process should follow an assessment of

your progress to date and an analysis of the most promising
ways to develop your organisation.
It's important to keep in mind that major events in

your organisation’s target marketplace or in the broader
environment should trigger a review of your strategic
objectives.
Regardless of whether or not there are fixed time

intervals in your business plan, it must be part of a rolling
process, with regular assessment of performance against
the plan and agreement of a revised forecast if
necessary.
When it comes to your organisation’s success developing

and implementing sound financial and management
systems (or paying someone to do it for you) is vital.
Updating your original business plan is a good place to

start.
When reviewing your finances, you should review:
• Cash Flow
• Working Capital
• Cost Base
• Borrowing
• Growth
Financial Cycles
• Typical Business Cycle

o Slowdown
o Bottom
o Growth
o Peak.
• Macro Business Cycle Considerations
• Management Adjustments during Business

Cycles
• Considerations
Analyse Cash Flow Trends
One of the best ways to track an organisation’s

health is by analysing cash flow trends.
Performing ratio analyses each month will give you a

concrete way to measure how well your organisation is
managing your cash.
These ratios will tell you how long it takes you to collect
payments from customers, how long you take to pay
vendors, and how long your inventory takes to sell.
a) Accounts Receivable Turnover Rate
b) Accounts Payable Turnover
c) Inventory Turnover Ratio

Once you’re tracking your ratios, work to improve them.
For instance, asking vendors for longer terms, buying

faster-turning merchandise, and cracking down on slow-
paying customers can all work to narrow your cash gap.
Ideally, you’ll achieve an excellent cash cycle in which

you pay vendors after customers pay you.
Review Statutory Requirements for Compliance and

Liabilities for Tax
Review Existing Software and its Suitability for Financial

Management
Tasks that are necessary to prepare financial

statements should be performed regularly.
Delaying financial tasks will also deny you regular

financial information such as cash flow statements, which
can be critical to helping you manage the everyday ebb
and flow of your organisation.
It is also important to note that a number of returns and

forms have to be completed very soon after the close of
the financial year.
For the purpose of assessing taxable income, accurate

current record keeping is vital.
Your CPA can assist with preparation.
Use financial software to produce regular financial

statements and ‘dashboard’ reports.
Regulatory Requirements
Accountability in business is an important factor.
There are many regulatory requirements that may apply

to your organisation.
You must check with your accountant and legal advisor to

ensure your ability to comply.
Element 2: Establish
Budgets
Risk Assessment
ELEMENT 2:
and Allocate Funds
Element 2: Establish Budgets and Allocate Funds
Establish Budgets and Allocate Funds

Setting Budgets
The process of setting your budgets for the year is the
process of turning your financial plans into how much money
is allocated into the various areas of your organisation.
The major steps in budget setting included in our discussion
are:
•Setting overall budgets
•Budgetary management
•Joint budgeting
Setting Overall Budgets in an Organisation

When you are setting your budget, you need to have in
mind all of your organisation's commitments - that is,
what are they committed to paying for, their demands -
what are their future needs and their priorities - from a
strategic point of view, what are the important aspects of
the organisation's plans?
Managing the Budgets

A budget holder is someone who is involved directly in
setting budgets and managing the results and
improvements based on those budgets.
Budget Management
A key component of the financial management process is
budgeting - forecasting revenue and cost streams into the
future and looking for trends.
An important part of the budgeting process is ensuring
that those who look after your budgets work in
conjunction with those who advise on those budgets.
The Role of Management

The accountability of those who manage the budget must be
identified so that all staff are aware of exactly what is
required.
When developing budgetary controls, the organisation must
attempt to build accountability and responsibility into the plan.
Budget management should also outline considerations such
as inflation and how prices are determined within the budget.
If any changes are made to the structure of accountability

within the budget setting and management process,
everyone involved in the process needs to be made
aware of the issues and the changes.
The Budget Holders

A budget holder can be defined as an individual who
contributes to the process of setting a budget.
Support Staff
These individuals are responsible for setting a framework to
monitor budgets, reporting the results, analysing financial
data, ensuring quality of data and ensuring the financial
decisions are recorded and communicated to those who
need to know.
The Structure of a Budget

This is the overall approach to budgeting that is taking
place.
Monitoring and Reporting Results
In an organisation, budgets are only useful when there
are arrangements in place for monitoring the information
received and reporting the information from the budget as
a whole.
Make Informed Estimates of New Items for Inclusion

in Budget
The idea of forecasting what will occur in the future is
critical to ensuring that an organisation understands how
a budget needs to be put together.
Prepare Budgets in Accordance with Organisational

Requirements and Statutory Requirements
Closing is when the budget can finally be most accurately
assessed and the position of the budget against actual
performance can be most appropriately identified.
With the closing of accounts for the year, the organisation
can also begin to make decisions on the performance of the
organisation.
Ensure that if an investigation into a budgetary variance is
initiated that the person looking at the problem is not
intimately related to the problem itself.
The Problem of Joint Budgets

Joint budgets are where two of more departments work
together in creating and maintaining their budgets.
The Problem of Joint Budgets

It brings up issues such as:
•How much each is entitled to from the budget
•What variance is acceptable
•Differences in expectations towards the budget process
•How variances will be dealt with
•How each manager will be accountable and responsible
for the overall budget.
Costing
Costing, and in particular forecasting unit cost, is integral
to a budget being effective.
If the unit cost that you have set is not accurate, then the
budget as a whole is unlikely to accurately reflect the
overall costs associated with the day-to-day operation of
the organisation.
A bottom-up approach to unit costing involves identifying
all of the resources associated in assembling a unit and
then putting a value on them.
In addition to the requirements of the organisation in

terms of the way financial information is managed and
how it is formatted, there are external requirements also.
• Delegated Authorities
• Internal Control Procedures
• Limits On Volumes And Types Of Financial
Transactions
• Reporting Of Duty, Excise And Other Overseas
Government Charges
• Reporting Periods.
The graphic following shows stages of the accounting

cycle that are completed in one accounting period.
The accounting cycle is completed in each accounting

period.
1. Transactions are entered into the journal
when they occur, as the first step in the accounting
cycle.
2. Journal entries are posted to a ledger as the
second step.
3. Entries are checked with a trial balance and
corrected if necessary.
4. The final step shown above is publication of
financial statements.
The accounting period is central to the application of the

matching-concept in accounting (reporting revenues
earned and the costs and expenses that brought them in
the same period), and to accrual accounting, the practice
of reporting revenues when earned and expenses when
the obligation is incurred, rather than reporting them
when cash actually flows.
Publicly held organisations (organisations that sell shares

of stock to the public) are required to publish reports
annually, for an accounting period that coincides with
their fiscal year.
In most countries, this is also the period (the year) for
which tax liabilities are calculated, summarised, and paid.
Many organisations also publish financial reports for
quarterly accounting periods (three-month periods), for
the benefit of shareholders, potential investors, and their
own management.
Taxation And Payment Timings

• Business Activity Statements (BAS)
• Superannuation
• Pay as you go (PAYG) tax withheld
• Payroll Tax
• Organisation Tax
These also include relevant Australian, international and

local legislation and conventions, such as:
• Bilateral or Regional Trade Agreements
• International Commercial Terms
(INCOTERMS)
• Trade Practices Act
• Warsaw Convention
• World Trade Organisation (WTO)
Determinations.
Element 3: Implement Budgets
Implement Budgets
Circulate Budgets and Ensure Managers and
Supervisors are Clear about Budgets, Reporting
Requirements and Financial Delegations
Managing Implementation
The key to the successful implementation of budgets
is effective preparation, delegation, role definition,
communication and training.
• Delegation
• Communicating
• Training
• Financial and Personnel Support
• Legal Assistance
Manage Risks by Checking there are no Opportunities

for Misappropriation of Funds and that Systems are in
Place to Properly Record all Financial Transactions
There are many risks associated with cash handling.
Theft or misappropriation of cash may be assisted by
the suppression, falsification or destruction of accounting
records, or where no initial records are created at all.
Review Profit and Loss Statements, Cash Flows and

Ageing Summaries
Revise Budgets, as required, to Deal with Contingencies
Profit and Loss (P&L)
All P&Ls are based on a very simple formula:
Sales - Costs = Profit
Cash Flows
An organisation's ability to consistently generate positive
cash flows from its daily business operations is highly
valued by investors.
Operating cash flow can uncover an organisation's true
profitability.
It’s one of the purest measures of cash sources and
uses, and is the gateway between other reported financial
statements.
• The Cash Flow Statement
• Operating Activities
• Investing Activities
• Financing Activities
• Supplemental Information
• Operating Activities
• Operating Cash Flows (OFC)
• Ageing Summaries
• Recording Business Losses
Maintain Audit Trails to Ensure Accurate Tracking and to

Identify Discrepancies between Agreed and Actual
Allocations
Ensure Compliance with Due Diligence
An audit trail (also called audit log) is a security-
relevant chronological, set of records, and/or destination and
source of records that provides documentary evidence of the
sequence of activities that have affected at any time a
specific operation, procedure, or event.
Due diligence is the reasonable steps taken by a person

to avoid committing a tort or offence and a
comprehensive appraisal of an organisation undertaken
by a prospective buyer, especially to establish its assets
and liabilities and evaluate its commercial potential.
Discrepancy is defined as a difference or inconsistency.

A discrepancy is an accounting error that was not caused
intentionally.
A discrepancy means something doesn't match.
You have the option to go back and locate the
discrepancy, or to reconcile anyway.
Audit Trails
An accounting audit trail incorporates all paperwork and
electronic evidence that shows the operational journey a
transaction goes through from the day corporate
personnel sign the underlying contract to the time the
transaction makes it into financial statements.
Simply put, an audit trail gives a step-by-step history of a

transaction, touching on documents as diverse as vendor
bills, customer invoices, contractual agreements, sales
slips, bills of lading and accounting journals.
The latter items constitute documents in which
bookkeeper’s record transactional data, usually via debits
and credits of financial accounts -- such as assets, equity
items, revenues, debts and revenues.
A sound, reliable audit trail typically draws on corporate

internal controls that are effective, adequate, adapted to
operating activities and in line with regulatory guidelines.
A control is a medley of policies, procedures and
mechanisms an organisation relies on to prevent
operating losses that may arise from various events.
In the modern economy, technology plays a key part in

the way an organisation maintains an effective audit trail
to ease the work of internal and external reviewers.
The tools of the trade include practical extraction and
reporting language, or PERL, software; risk assessment
programs; transaction security and virus protection
software; backup and archival software; and defect-
tracking applications.
Other tools include categorisation or classification
software, calendar and scheduling software, and
mainframe computers.
Journal entries are, according to the Journal of

Accountancy, highly susceptible to management override
and fraud.
Although internal controls are put in place to help prevent
fraud-related material misstatements from occurring,
some employees do find ways of getting around these
controls.
Audit trails created as part of an internal audit are
important for detecting discrepancies in journal entries
and for identifying the individual or individuals involved.
Because an audit trail is an objective representation of

fact, it may also be used externally, such as in criminal
court proceedings.
Auditors also use audit trail information as supporting
documentation when writing a final audit opinion.
The ‘what’ of an audit trail includes tracing entries made

to unrelated, unusual, or seldom-used accounts and
entries consistently using round numbers or the same
ending number.
‘Who’ involves comparing a list of those authorised or
who commonly create journal entries against individuals
actually making the journal entry or entries.
‘When’ involves tracing journal entries made either before
or during the preparation of end-of-period financial
statements that do not have corresponding account
numbers as well as journal entries recorded at the end of
the reporting period or as post-closing entries that include
little to no explanation.
Element 4: Report on Finances
Report on Finances
Ensure Structure and Format of Reports is Clear and
Conform to Organisational and Statutory Requirements
Financial Reporting
All financial reports must be clear and conform to the

requirements of the organisation and any statutory
requirements.
Most accounting programs generate a variety of

reports in the required format.
Reports may include:
• Audits
• Balance Sheets
• Cash Flow Statements
• Electronic Forms
• Financial Year Reports
• Operating Statements
• Spreadsheets
• Statutory Forms
Communicating Financial Information
All modern organisations send their information to a

wide range of people around the organisation.
Sometimes it may be kept on paper, while at other

times it is kept electronically.
Financial reports, which you send out to others in

your organisation, need to be carefully tailored to suit the
needs of your organisation’s structure.
Report Writing
If you look at the reports that you are given on an

everyday basis, you may find that they are poorly structured,
full of jargon, have an unattractive layout and the information
you want is never at your finger tips.
•Identify your Readers
•Check Your Assumptions (and those of the reader)
•Structure your Report

Identify and Prioritise Significant Issues in Statements,

including Comparative Financial Performances for
Review and Decision Making
Potential Issues
Issues in statements could include:
• Cost Structures
• Internal Controls
• Losses and Returns
• Profitability
• Statutory Obligations
• Suppliers and Markets
Comparative Financial Statements

Comparative analysis is a method used in the analysis of
financial statements to identify new trends when data or
ratios for a specific item from multiple time frames are
presented alongside each other for a direct comparison.
The same method can be used to compare the outcomes
of alternative solutions or processes applied in similar
circumstances.
Comparative financial statements are the complete set of

financial statements that an entity issues, revealing
information for more than one accounting period.
The financial statements that may be included in this
package are:
• The income statement (showing results for
multiple periods)
• The balance sheet (showing the financial
position of the entity as of more than one balance
sheet date)
• The statement of cash flows (showing the cash
flows for more than one period)
Comparative financial statements are quite useful for the

following reasons. They:
• Provide a comparison of an entity's financial
performance over multiple periods.
• Provide a comparison of expenses to revenues
and the proportions of various items on the balance sheet
over multiple periods.
• May be useful for predicting future
performance.
It is customary to issue comparative financial statements

with additional columns containing the variance between
periods, as well as the percentage change between
periods.
The Australian Securities and Investments Commission
(ASIC) requires that a publicly held organisation use
comparative financial statements when reporting to the
public.
Prepare Recommendations to Ensure Financial Viability

of the Organisation
After you have completed your financial analysis, it is
time to make recommendations for the coming year and how
they are to be implemented.
The recommendation for implementation is a brief
restatement of compelling results of the cost-benefit analysis
and a final statement that you believe the project should go
ahead.
Articulate the circumstances under which it should be

undertaken, including key individuals and actions. Include
a recommendation for scheduled re-examination of the
implementation status.
If there is any question as to the availability of key
resources, make that clear.
Include a recommendation for regularly scheduled re-
examination of the implementation status.
Refer the reader back to relevant documents and
graphical presentations where it might be helpful.
In making recommendations you should always:

• Know why are you are recommending something
• Ensure that you address all the parts of the
problem.
• Ensure you don’t try to solve a problem that is
not really a problem.
Recommendations need to have the what, why, and how

much questions addressed.
They need to be clear and understandable.
If there are problems in some areas and you can see a
possible solution.
Here are some of the areas where improvements can

often be made:
• Cash Flow
• Changes in Organisational Activity Including
Markets, Goods Or Services Traded
• Consolidation
• Expenses and overheads
• Labour costs including decisions to move
production to other locations or sites
• Loss
• Profit
• Write-offs
Evaluate the Effectiveness of Financial Management

Processes
Budgets are a valuable tool for owners to use to
evaluate the performance of their firm at the end of the time
period that the budget covers. Managers should be able to
understand and track the current financial health of the
organisation without solely relying on the accountant. Some
basic financial analysis could include:
• Record keeping obligations
• Analyse the accounts
• Converting financial data to ratios or percentages
Summary
Once the processes and policies have been
implemented, they must be fully evaluated to ensure that
they are working as expected. In so doing you can learn
from the experience, and make more effective decisions
in the future.
focusing on your training needs
PRECISION GROUP (AUSTRALIA) PTY LTD

BSBFIM601 Powerpoint Presentation

Uploaded by

Copyright:

Available Formats

BSBFIM601 Powerpoint Presentation

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

BSBFIM601 Powerpoint Presentation

Uploaded by

Copyright:

Available Formats

PowerPoint Presentation

1. Plan for Financial

Plan for Financial Management

The information is reported to a variety of different

Business managers need accounting information to make

Investors hope for profits that may eventually lead to

Creditors are always concerned about the organisation’s

Governmental Departments need information to tax and

Analysts use accounting data to form opinions on which

Employees want to work for successful organisations to

Accounting information about specific entities helps

Financial accounting is concerned with external reporting

In contrast, managerial accounting is primarily concerned

The distinctions include:

The ongoing debate about fair value versus historical cost

This debate is apt to continue, and the related accounting

Nevertheless, it is reasonable to expect that the

Review and Analyse Previous Financial Data to Establish

The Macquarie Dictionary defines the word ‘probity’

Probity auditors provide an independent professional

The concept of probity is a critical one.

It must be evaluated within a context of values and norms

Probity must reflect strong robust processes.

Probity ensures processes are not only compliant, but

Probity is a tool to be used to independently vet and

To ensure probity in your organisation:

Financial Data Analysis

Users of Financial Data Analysis

There are a number of users of financial data analysis.

Methods of Financial Data Analysis

There are two key methods for analysing financial data.

There are several general categories of ratios, each

Problems with Financial Data Analysis

While financial data analysis is an excellent tool, there

• Comparability between Periods

• Comparability between Organisations

Market-based valuation is a form of stock valuation that

Many provisions of the laws administered by the

For tax purposes, it is usually the valuation process

However, some exceptions do exist for example, only a

Budgets, Forecasts and Variations

Budgeting is the process of creating a plan to spend your

This spending plan is called a budget.

Creating this spending plan allows you to determine in

Budgeting is simply balancing your expenses with your

Budgeting allows you to create a spending plan for your

To use your budgets effectively, you will need to review

Two main areas to consider are the actual income and

Analysing these variations will help you to set future

A financial forecast is a financial plan or budget for your

It is an estimate of two essential future financial outcomes

You can create a cash flow forecast by adding income

The purpose of the financial forecast is to evaluate

This will help identify future revenue and expenditure

An effective forecast allows for improved decision-making

Organisation at all levels should forecast major revenues

The forecast should extend several years into the future.

The forecast, along with its underlying assumptions and

It also should be concisely presented in the final budget