A budget report is a financial document that outlines an organization's income and expenses over a specific period. It helps track how well the organization is adhering to its financial plan, allowing for adjustments if necessary. Budget reports are essential for effective financial management, ensuring that resources are allocated efficiently. These reports typically include various sections, such as revenue sources, expenditure categories, and comparisons to previous budgets. By analyzing budget reports, organizations can make informed decisions about future spending and investments, ultimately supporting their overall financial health and strategic goals.