ABSTRACT
An essential part of any business activity is preparing a budget, or a set of complementary budgets. Bringing a new product or service to the marketplace requires an increasing investment of money until you reach the point where the monthly income from sales exceeds the monthly expenses. Budgets are tools for estimating such things as what those required investments are going to be, when incremental monthly sales revenue will exceed incremental monthly investment, when the cumulative income from sales will exceed the cumulative investment (if ever) and for evaluating progress vs. plan during the execution of a project.
