Discuss the advantages and disadvantages of making a budget for the next year.  Do the results of the ratio analysis indicate any aspects worthy of special consideration? 

 Budgeting
Discuss the advantages and disadvantages of making a budget for the next year.  Do the results of the ratio analysis indicate any aspects worthy of special consideration?
Explain two different approaches to drawing up a budget for the business.
Critically evaluate how performance management can use the budget to make better financial decisions.
Suggested wordcount: 750 – 800 words.