A master plan and a master budget are two different concepts in business management.

1. Master Plan: A master plan is a comprehensive and long-term strategic plan that outlines the overall goals, objectives, and strategies of an organization. It provides a roadmap for the organization’s future growth and development. A master plan typically covers a period of several years and includes various aspects such as market analysis, competitive positioning, product development, resource allocation, and organizational structure. It serves as a guide for decision-making and resource allocation across different departments and functions within the organization.

2. Master Budget: A master budget, on the other hand, is a detailed financial plan that outlines the projected revenues, expenses, and cash flows of an organization for a specific period, usually one year. It includes various sub-budgets such as sales budget, production budget, operating budget, capital budget, and cash budget. The master budget is typically prepared annually and serves as a financial control tool to monitor and manage the organization’s financial performance. It helps in setting financial targets, allocating resources, and evaluating the financial feasibility of the organization’s plans and strategies.

In summary, a master plan is a strategic plan that outlines the overall goals and strategies of an organization, while a master budget is a financial plan that details the projected revenues, expenses, and cash flows for a specific period. The master plan provides a strategic direction, while the master budget provides a financial framework to achieve the goals outlined in the master plan.