Referencing Styles : Harvard PART 1 – Planning and Control (1000 words) Write an essay of 1000 words demonstrating your conceptual understanding of the following questions. 1. Is budgeting used primarily for scorekeeping, attention, directing or problem solving? 2. How do strategic planning, long range planning and budgeting differ? 3. Why is budgeted performance better than past performance as a basis for judging actual results? 4. What are the major benefits of budgeting? 5. Is budgeting an unnecessary burden for day to day problems? Explain your answer. 6. Why is the sales forecast the starting point for budgeting? 7. How do Spreadsheets aid the application of sensitivity analysis? PART 2 – Budget Preparation – Intellectual and Practical Skills (1500 Words) Application of learning: Prepare the following budgets for the 6 months ending September 2013. You are required to use Excel spreadsheets, which can be copied into word once you finish, should you wish. A template is available for you to use as a basis. a) Sales budget b) Cash Budget c) Debtors Budget d) Creditors Budget e) Production Cost Budget f) Raw Materials and finished goods Budget g) Profit and Loss Account Budget h) Balance Sheet Budget Draw conclusions from your budgets and prepare a short management report.