What is the meaning of budget?
Answer and explanation
Correct answer: A plan of income and expenses
A budget is a planned estimate of expected income and expenditure for a specified period. It helps a business decide how available money should be allocated, monitor actual spending, and avoid unnecessary financial pressure. Hence option A is correct; uncontrolled spending is the opposite of budgeting.
Frequently asked questions
What is the correct answer to this question?
A plan of income and expenses
Why is this the correct answer?
A budget is a planned estimate of expected income and expenditure for a specified period. It helps a business decide how available money should be allocated, monitor actual spending, and avoid unnecessary financial pressure. Hence option A is correct; uncontrolled spending is the opposite of budgeting.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: Sources of Business Finance. Topic: Concept, nature and importance of business finance.
