--%>

Budgetary accounts

Accounts used in governmental accounting to record the budget amounts but not the actual amount. For example, at the beginning of the accounting period, the planned amount of tax revenue, revenue from license, and inflows from fines would be recorded as one amount in the budgetary account for estimated revenue of a city. During the accounting period, no other entries would be made to the budgetary account for esti- mated or real revenue. Then the end of the accounting period, the budget entry would be reversed. Each budgetary account has subsidiary accounts associated with it. The estimated revenues budgetary account may have subsidiary accounts that identify the individual sources of the revenues by type, such as fines, licenses, property taxes etc. The budget amount is entered in the subsidiary accounts with a debit. The actual cash collections are entered as a credit in the subsidiary accounts, with the debit for the total to cash 

 

   Related Questions in Managerial Accounting

  • Q : Management accounting and financial

    What does the difference between management accounting and financial accounting suggest?

  • Q : Significance of partnership deed Why is

    Why is it significant to encompass a partnership deed in writing? Answer: Partnership deed is significant as it is a document stating relationship of each and every

  • Q : Capital account on credit and debit side

    List the items that might appear on the debit side and credit side of a partner's fluctuating capital account. Answer: On debit side: Drawing, interest on drawing, c

  • Q : Define Profit or Loss Analysis Profit

    Profit or Loss (P&L) Analysis: A financial statement which summarizes the revenues, costs and expenses acquired during a particular period of time - in general a fiscal quarter or year. Such records give information which exhibits the capability o

  • Q : Calculating the Operating Cost &

    1.   HulaHug Corp., which manufactures hula hoops, currently has two product lines, the Roundabout and the Sassafras. HulaHug has total overhead of $124,478. HulaHug has identified the following information about its overhead activity pools and the two

  • Q : Explain Operating Budgets Operating

    Operating Budgets: It is a financial document which aids a business in making significant decisions regarding its actions. An operating budget does not contain instant impact on the actual state of the business and exhibits only future projections. Bu

  • Q : Define Process and Process Costing

    Define Process and Process Costing: Process: The organized process of transforming inputs (that is, people, equipment, techniques, materials, and atmosphere), to outputs (that is, products or servi

  • Q : Why most of the larger businesses are

    Why most of the larger businesses are not managed as the single unit through one manager?

  • Q : Developing objectives and plans in

    Write down a short note on the developing objectives and plans in decision making process?