Of the reason in the text for developing a budget, which do you think is the most important and why

Business Budget is a document that contains information about all the expenses and revenues of the company in a given period - usually one year. The purpose of the corporate budget is to assist in defining the financial direction of the enterprise, enabling solid planning for the year to come.

A business budget is a document or tool that contains important information for running a business.

In other words, the document details all of the company's expenses and revenues over a given period - usually one year.

For this, the corporate budget is not based only on past data, a critical analysis of the company's situation, market prospects and business objectives is carried out.

The first step in setting up a good business budget is to carry out a general diagnosis of the company. After all, to project the future, you need to know your current reality, its limitations, problems and, of course, opportunities.

So it is advisable that you take the time to study your finances. Don't just stick to the previous year. The ideal is to analyze at least the last 3 years.

The important thing about this phase is to gather as much relevant data and information about the company and make an assessment of how it has evolved. For example:

the average sales of previous years;

the average profit achieved;

taxation expenses;

seasonal sales and products;

possible ordinary expenses.

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