Title: Introduction to Budgeting
Course: BAC300: Management Accounting I (PEBL) > Section: LESSON ELEVEN: Introduction to Budgeting

1.1  Introduction

In this first lesson, we lay the foundation for the entire course by defining the concept entrepreneurship and other related terms. Throughout our teaching experiences, we have found that an understanding of the basic principles behind the subject and their applications increases the students’ motivation for the subject. We therefore introduce you to the theories upon which entrepreneurship study is based and encourage you to engage in in-depth discussions of these concepts and theories. Since the term entrepreneurship is closely associated with small businesses, we introduce the concept of small business too. The purpose of this lesson is to enable you understand fundamental concepts and theories of entrepreneurship.

11.1 Introduction

Lesson-level overview | Lesson/week/section | 11.
Lesson name: | Introduction to Budgeting
Aim of the lesson: | This lesson aims at helping you acquire knowledge on budgeting
This lesson covers:
- Definition of budget
- Importance of budgets
- Classification budgets
Intended learning outcomes:
At the end of this lesson, you will be able to:

1. Define budget
2. Explain importance of budgets
3. Classify budgets

Overview of student activity:
1.Pre-lesson activity – Identifying five things that you already know about budgets in accounting  in discussion forum 11.1

2. Presentation by group leaders in face to face class

3. Engaging in e-tivities 11.1, 11.2, 11.3 that involves  reading linked resources and watching videos on classifying budgets as well as explain importance of budgets

4. Interactions on the discussion forums

Constructive alignment of Lesson level outcomes with module level outcomes, learning activities and assessment

(Pressing <Tab> at the end of the table will provide additional rows in the table, if required.)
Intended Lesson learning outcomes: | No of module-level outcome | Activity where students engage with this outcome | Where and how is this outcome assessed?
At the end of this lesson, you will be able to:
Define budget | 5 | 11.1 | 11.1 (a) Short answer question
Explain  importance of budgets | 5 | 11.2 | 11.2 (a) Short answer question
Classify budgets | 5 | 11.3 | 11.3 (a) Essay question

Detailed explanation of ALL student and teacher engagement with the Lesson:

(This should be presented in the order that the activities take place.  So if students do work online before coming to the lecture, that should be shown ahead of what happens in class.

If there is more than one opportunity for face-to-face contact, or more than one online task, there should be a separate section for each instance, and they should be presented in the template in the same order that students encounter them.)

Content – such as lecture material – can EITHER be shown here OR added as clearly identifiable addenda to the document.  If you plan to use addenda, you should ensure that these are cross-referenced in this section.)
Module-level outcomes addressed:
Lesson eleven addresses module learning outcome 5 - recommend management accounting decisions to management
Purpose of the lesson/week/section:
This lesson will help you to understand the meaning, importance and classification of budgets.
Over to you: (a description of the process of the section)
You will start by Identifying five things that you already know about budgets in accounting and writing them down in bullet points in discussion forum 11.1. Your tutorial group leaders will present the same points during the face to face class. You will then read the linked resources and watch a video to enable you define and classify budgets as well as explain importance of budgets in e-tivities 11.1, 11.2 and 11.3 respectively.
Pre-lesson activity: | Number of hours | 1
Identify five things that you already know about budgets in accounting and write them down in bullet points in discussion forum 11.1 to be presented in class during the face to face class. Later, you will compare your answers with those of your colleagues and feedback given by the facilitator.
Face to face time: (if applicable) | Number of hours | 1
a) Explain the learning outcomes

b) Explain the link between the previous lesson and the current one

c) Present the pre-lesson activity answers

d) Introduce the nature and meaning of the budgets and explains importance and classification of budgets.

E-tivity 11.1

Online activity: | Number of hours | 1
What should students do? | E-tivity 11.1 You have already identified five things that you already know about budgets in accounting and presented them during the face to face class. To get more details about the budgets by reading Principles of Accounting, Volume 2: Managerial Accounting page 357-365, and define a budget and its importance.
Where do they do it? | On the discussion forum 11.1
By when should they do it? | Before the next lesson.
E-moderator/tutor role
Ensure that learners are focused on the contents and providing feedback on the pre-lesson activity and e-tivity
How are the learning outcomes in this lesson assessed? | Number of hours | 1
Short answer question
How does this section link to other sections of the module?
It is the foundation lesson on budgets and forms the basis for further interactions.

E-tivity 11.2

= Total number of hours | 4 |
Online activity: | Number of hours | 1
What should students do?
E-tivity 11.2

Using the bullet points on the above slide and information from this video and this resource  in chapter 7.1, page 348,

(a) Explain the importance of budgets.

(b) Once you have posted your answers on the discussion forum, read what three of your colleagues in the tutorial group have posted on importance of budgets and note the key importance of budgets. Add any new point to your notes.
Where do they do it? | On the discussion forum 11.2
By when should they do it? | Before the next lesson.
E-moderator/tutor role
Ensure that learners are focused on the contents and context of discussion and provide feedback on e-tivity 11.2 task.
How are the learning outcomes in this lesson assessed? | Number of hours | 1
Short answer question.
How does this section link to other sections of the module?
It is a continuation lesson on budgets and forms the basis for the control process.

E-tivity 11.3

Online activity: | Number of hours | 1
What should students do?
E-tivity 11.3

Read these resource 1 and resource 2 and then:

(a) Explain various classifications of budgets.

(b) Post your answers on the portfolio
Where do they do it? | On the portfolio
By when should they do it? | Before next lesson.
E-moderator/tutor role
Provide feedback on e-tivity 11.3 task.
How are the learning outcomes in this lesson assessed? | Number of hours | 1
Essay questions
How does this section link to other sections of the module?
It sets the stage for lesson 12 by giving you knowledge on budgeting that you will require for budget preparation
= Total number of hours | 4 |
Online activity: | Number of hours | 1

Some important questions

Which learning resources/ references will scaffold the students’ learning?
1. MitchelL, F., Moyne, C. Patty, G. & Dixon, C. (2019) Principles of accounting, Vol   2:managerial accounting, OpenStax , Houston, Texas . chapter 7
2. Jonick, C. (2019) Principles of Managerial Accounting Business

Administration, Management, and Economics Open Textbooks.

1. Kurt, H., Sierra, C. Joe, & H. (2012) Managerial accounting, Saylor Foundation, How Are Operating Budgets Created? (saylordotorg.github.io) chapter 9
2. Alldredge, D. (2017) introduction to budgeting, retrieved from https://www.youtube.com/watch?v=BqDjTCT2Cow
How are students enabled to access the resources? | Resources are shared in the module that is loaded in the Learning Management System (LMS) and all students have access to it. The same module is placed on the OER Africa website. |
Where in this lesson are students expected to work collaboratively? | Discussion forum 11.1, and 11.2 |
How has an inclusive approach been incorporated in this lesson? | a) Use of multimedia resources in the module and differentiated learning activities. b) Use university computer labs, all resources are downloadable for offline use and discounted data bundles are available to students. c) Use of accessibility button for learners with special needs on the LMS. |
How will feedback on lesson be obtained from students? | Through the posts in the discussion forum 11.1 and 11.2  and also during the face to face class |
How will student feedback be used to improve lesson? | By incorporating suggestions in the course for the current and subsequent cohorts. |
At which point(s) will students receive formative feedback on the work they have done in the Lesson? | Before the next lesson. |