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Expense budget planning is an important part of any budget. An expense budget is a list of forecasted expenses within a set amount of time. An expense budget could cover a quarter, an entire year or just a month.
A budget is defined as management's quantitative expression of plans for aforthcoming period. Budgets are prepared at various levels of an organiza-tion. The master budget is defined as the overall financial plan for the period,which reflects the organization's goals and objectives. The master budgetincludes operating and financial budgets. Operating budgets show the com-pany's planned sales and operating expenses.