What is a rolling budget? Why are they prepared? Discuss why some types of companies would use a rolling budget instead of a master budget.© BrainMass Inc. brainmass.com June 4, 2020, 2:37 am ad1c9bdddf
By definition, a rolling budget is "a budget or plan that is always available for a specified future period by adding a month, quarter or year in the future as the month, quarter or year just ended is dropped" (wps.prenhall.com/wps/media/objects/211/216259/glossary.html).
Whereas a master budget is usually designed for the entire fiscal year of a company, companies who use rolling ...
This 254 word solution provides a good explanation and the uses of rolling budgets. Examples of types of companies that might make good use of these types of budgets are included.