// Workers AI · dad joke modeWhy was the operating budget sad? It was always spent.

Further information: Operational planning and Corporate budget

The operating budget contains the revenue and expenditure generated from the daily business functions of the company. It concentrates on the operating expenditures — the cost of goods sold, the cost of direct labour and direct materials that are tied to production; as well as the overhead and administration costs tied directly to manufacturing the goods and providing services.

The operating budget will not contain capital expenditures and long-term loans.

See also

• Capital budgeting