This document provides an overview of key concepts relating to master budgeting. It discusses the basic framework of budgeting, including the differences between planning and control. Advantages of budgeting are defined goals, uncovering bottlenecks, coordinating activities, communicating plans, and allocating resources. Self-imposed budgets allow managers at all levels to participate in setting goals. The master budget integrates multiple schedules including sales, production, materials, labor, overhead and cash to answer questions about revenue, costs, income, cash flows and ending balances. Assumptions used to estimate the budgets are also important.