Budget - Page 21

A budget is a detailed financial plan that outlines an individual's or organization's expected income and expenditures over a specific period, typically a year. It serves as a tool for managing finances by setting limits on spending and providing a framework for tracking financial performance against those limits. Budgets help in allocating resources efficiently, ensuring that funds are available for necessary expenses, saving for future goals, and making informed decisions about financial priorities. In addition, a budget can be used to identify areas where spending can be reduced, allowing for better financial control and the achievement of long-term objectives.
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