Budget. In many companies predetermination or estimating factory overhead constitutes the initial step toward the budget program. When all phases of a business sales engineering manufacturing marketing administration have been coordinated into through out budget program the budget becomes the written expression of management plan for the future.

No person intimately connected with the affairs of a company which budgeting can be unaffected or disinterested. The budget will not only help promote coordination of people classification of policy crystallization of plants but the successful will create greater internal harmony and unanimity of purpose among mangers or workers.

These deviation and measurement are similar to budget comparison that they compare that they actual with predetermined data. The deviation measurement and budget comparisons are also likes in that both relate to the idea of responsibility accounting. It should be noted however that standards with their variance analysis go beyond the mere comparative level.