Budgeting is the common accounting tool companies use for planning and controlling what they must do to satisfy their customers and succeed in the market place. Budget provides a measure of the financial results a company expects from its planned activities. By planning for the future, managers learn to anticipate potential problems and how to avoid them. Instead of subsequently facing problems, managers can focus their energies on exploiting opportunities. Remember that, 'few businesses plan to fail, bu many of those that flop, failed to plan'.