Budgeting in Health Sector

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A budget is a plan that relates planned resource consumption to a specific period of time. It allows organizations to track expenses, categorize expenditures according to needs, and act as a safety valve to prevent overspending. Budgets must be planned and approved before activities begin and follow organizational policies. Budgets do not exist in isolation but are part of larger projects or plans. Careful consideration is needed when creating budgets to avoid over or under expenditures.

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