The budget cycle in financial budgeting includes the steps of:

Question

Quizplus · Accepted Answer

The budget cycle in financial budgeting typically includes several key phases, but the options provided in the question do not accurately represent these phases. Here is a more accurate breakdown of the steps involved in a typical budget cycle:
a) Agency preparation: This step involves the preparation of budget requests by various government agencies or departments. During this phase, agencies review their financial needs, goals, and priorities for the upcoming fiscal year and prepare detailed budget proposals outlining their funding requirements.
b) Executive preparation: After agencies submit their budget requests, the executive branch of the government, typically led by the President or Governor (depending on the level of government), reviews these requests. The executive branch, often with the help of the Office of Management and Budget (OMB) or a similar body, consolidates these requests into a comprehensive executive budget proposal. This step is sometimes referred to as executive budget preparation, not "executive purchasing."
c) Legislative consideration: The executive budget proposal is then submitted to the legislative branch, where it is reviewed, debated, and modified as necessary. This process involves various legislative committees and subcommittees, which hold hearings and make recommendations on different parts of the budget. The legislature may make changes to the proposed budget before passing it. This step is often referred to as legislative action or approval, not "legislative automation."
d) Execution and implementation: Once the budget is approved by the legislature and signed into law by the executive, the approved budget is executed. Agencies implement their programs and activities according to the allocated funds, and the treasury disburses funds as appropriated.
e) Audit and evaluation: Throughout and after the budget year, the budget is subject to audit and evaluation to ensure funds are being used as intended and to assess the effectiveness of funded programs. This step helps inform future budget decisions.
Therefore, the correct answer to the question, based on the typical steps of the budget cycle, would be:
a) Agency preparation
The other options provided (executive purchasing and legislative automation) are not standard terms associated with the budget cycle.

The Budget Cycle in Financial Budgeting Includes the Steps Of