Top-down budgeting approach or the bottom-up method
There are two main approaches to designing a budgeting proposal – a top-down approach and a bottom-up method. The top-down approach is where the total budget is set on the top and then is broken down into the components within the budget. On the other hand, the bottom-up approach is where the plan of the budget is decided, things are scheduled, and then the total budget is designed. The top-down budgeting approach is better because the management decides the budget at the initial level and then the tasks are scheduled accordingly, and the budget allocation is done likewise. Along with Continue reading...