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rolling budgets have the advantage of allowing a

"Rolling budgets have the advantage of allowing a company to adjust its annual forecasts in order to take into account changes in the business or economic environment".

(a) Explain what is meant by the statement above and how rolling budgets can help a company adjust its forecasts and targets. Explain the importance of environmental analysis in this process.

(b) Name and briefly describe THREE types of budgets used by companies.

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