Definition

Budget committee

Budget committee is a group responsible for coordinating the preparation of the budget.

Budget committee has responsibility for coordinating the preparation of the budget. The committee ordinarily includes the president, treasure, chief accountant (controller), and management personnel from each of the major areas of the company, such as sales, production, and research.

The budget committee serves as a review board where managers can defend their budget goals and requests. Differences are reviewed, modified if necessary, and reconciled. The budget is then put in its final form by the budget committee, approved, and distributed.

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