1.0 Chapter Introduction. When used in this chapter, the terms contract type. and type of contract refer to the contract compensation. arrangement. The contract compensation arrangement is the. method of determining the dollars due to the contractor. under the contract.
A budget (derived from old French word bougette, purse) is a quantified financial plan for a forthcoming accounting period.he budget of a government is a summary or plan of the intended revenues and expenditures of that government. There are three types of government budget: the operating or current budget, the capital or investment budget, and the cash or cash flow budget.
The steps in preparing a budget. Many organizations prepare budgets that they use as a method of comparison when evaluating their actual results over the next year. The process of preparing a budget should be highly regimented and follow a set schedule, so that the completed budget is ready for use by the beginning of the next fiscal year. Here are the basic steps to follow when preparing a budget: Update budget assumptions.