In a business organization, the annual operation plan or budget is a form of
Answer Details
In a business organization, the annual operation plan or budget is a form of short-term plan. A short-term plan covers a period of up to one year, and it is a detailed and specific plan that outlines the objectives and activities that need to be accomplished during that time. The annual operation plan or budget typically covers a period of one year and is usually prepared on a yearly basis.
The annual operation plan or budget sets out the expected income and expenses for the organization over the next year. It is based on the organization's goals and objectives, as well as its historical financial data and market trends. The budget includes a breakdown of the expected income and expenses, as well as details on how the funds will be allocated and used.
The purpose of the annual operation plan or budget is to provide a roadmap for the organization to follow during the upcoming year. It helps to ensure that the organization stays on track and is able to meet its financial goals and objectives. It is also used to monitor the organization's progress throughout the year and make any necessary adjustments to the plan as circumstances change.
In summary, the annual operation plan or budget is a short-term plan that covers a period of up to one year. It outlines the expected income and expenses for the organization and provides a roadmap for achieving its financial goals and objectives.