Budgeting in any organization, whether it is for-profit, nonprofit, or even a governmental agency, is important for: income planning and monitoring; revenue versus expenses; resource management; and successful financial planning.

1. Provide an example as to why these reasons are so important for organizations to budget.
2. What are the types of budgets organizations can use? How are they different and why would a company choose one type over another?
3. How can you apply what you will learn in this class to your personal and professional life?