 In this presentation, we will take a look at budgetary controls and reporting. In a prior course, in prior presentations, we took a look at the creation of the master budget, a static budget, and the components of the master budget. Here we're going to be focusing more on the flexible budget, but we want to review some of the components of the budgeting process and then go into those components more in depth concentrating on the flexible budget. For the budgeting process, we'll start off with the creation of the budget. We're going to have to compare the actual numbers to the budgeted numbers. So we're going to create the budget, of course, then we'll have the actual period we'll run by, the time period, the month, the year, then we'll do the comparison. What did we expect to happen in the budget? What actually happened? What are the actual numbers? We'll do that comparison, then we'll analyze the differences and then we'll strategize. We'll look at the differences, of course, the variances, and then we'll strategize.