What are the differences between the operating budget and financial budget ? kindly select their components ?

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I agree with the answers given 

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Operating Budget as it sounds from it's name, looks after the firm's operations, how the firm generates it's revenue and the cost of that revenue, in other words, Operating Budget focuses on the income statement related activities.

Parts of operating budget are :

- Sales Budget (first Budget to be put)

- Production Budget (Budgets production units not monetary Value, and based on the budgeted sales and inventory)

- Direct Materials Budget

- Direct Labor Budget

- Manufacturing Overheads Budget  (Fixed & Variable)

- Cost of goods sold budget

- non manufacturing Budget ( Administrative, marketing, research and development... etc)

- Proforma Income Statement

While Financial Budget Focuses on the financial aspect, obtaining the needed funds to purchase the operating assets, it contains :

- Capital Budget

- Cash collection schedules

- Cash disbursement schedules

- Cash Budget

- Proforma Balance sheet

- Proforma Cash Flow statement

We know that every business needs to create a budget to account for its  upcoming expenses and determine how to use its revenue.

_Budgets can take a number of  forms based on the company's need and financial situation.

_Operating budget covers ast period of time and lists a company's planned revenue and expenses over that  time  frame.

_It  includes: expenses, revenue and profits.

_The profit section combines expected revenue from all. Sources with budgeted expenses to. detemin whether the business will earn a profit or experience a loss over the.  budget period.

_Financial  budget includes information about how a business  will go about acquiring cash in the future and how  it will  spend that cash accross the same time frame.

_Both  operating budget and financial budget rely on the same expectations when it comes to revenue.

• An operating budget covers a set period of time and lists an organization's planned revenue and expenses over that time frame. An operating budget includes three major sections: expenses, revenue and profits. The profit section combines expected revenue from all sources with budgeted expenses to determine whether the business will earn a profit or experience a loss over the budget period.

• A financial budget includes information about how a business will go about acquiring cash in the future and how it will spend that cash across the same time frame. One of the major sections of a financial budget is a cash budget, which outlines upcoming cash expenses and earmarks incoming cash to cover it. A capital expenditure budget is another section of a financial budget that deals with major upcoming expenses, such as new buildings for expansion.

• Both operating budgets and financial budgets rely on the same expectations when it comes to revenue. In each case, an organization's financial leaders use past performance and market trends to determine the upcoming sales, investment revenue and income from selling off assets according to a budgeted plan.

  Organizational budgets, however, balance that revenue against upcoming expenses, while a financial budget seeks ways to spend some or all of the revenue. A financial budget also includes a balance sheet, which notes the organization's assets and liabilities at a given point in time, independent of its revenue or projected expenses.