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growthstocks

06/14/10 12:58 PM

#16757 RE: pire #16749

I think what were trying to get at is "operating budget" for the month, or week. Each company has an operating budget. The amount of money needed to keep the lights on, and pay for all other expenses. That budget needs to be hit for financials to stay neutral. The "target" or the "goal" is the total money that comes in which is set above the operating budget; it's set depending on how much money the company wants to make that is reliable. Some companies set a budget higher than the actual budget to ensure hitting their minimums.