Incremental Budgets Flashcards
1
Q
Does Halfpenny do their budget on incremental basis?
A
Yes
2
Q
How often is their budget prepared?
A
Annually
3
Q
What approach do they use?
A
Top-down approach
4
Q
What is an incremental budget?
A
Budget uses previous period budget or actual performance and tweaks it.
5
Q
What is top-down approach?
A
Implementation of budget comes from the top. Managers have limited input.
