Is a Budgetary Control?

Budgetary control is financial jargon for managing income and expenditure. In practice it means regularly comparing actual income or expenditure to planned income or expenditure to identify whether or not corrective action is required.

What is budgetary control example?

An example would be an advertising budget or sales force budget. b) Budgetary control: A control technique whereby actual results are compared with budgets. Any differences (variances) are made the responsibility of key individuals who can either exercise control action or revise the original budgets.

How are budgets controlled?

Budgeting, as a control tool, provides an action plan to ensure that the organization's actual activities are least deviated from the planned activities. Budgets are used to give an overview of the organization and its operations.