The operating budget is a short-term budget that is related to the operations of the company. It does not describe the long-term position, goals and objectives of the company within its environment.
The cash management budget relates to the cash inflows, outflows and cash balances of the company. It is a short-term budget that is concerned with liquidity. It does not describe the long-term position, goals and objectives of the company within its environment.
Long-term, or strategic, planning for periods of five years and more which is based on the objectives of the organization is called the strategic plan.
The capital budget is used to plan all capital expenditures (property, plant and equipment). This budget is often prepared years in advance, so that the company can plan to obtain the necessary financing or accumulate the needed cash to carry out its capital expansion plans. However, it does not describe the long-term position, goals and objectives of an entity within its environment.
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