Mini Makers, a small manufacturer of action figures, is formulating a budget for next year's promotional activities. The company decides to budget $50,000 for promotional expenses (an amount equal to its nearest competitor's allotment.) Mini Makers is using the ____ method of budgeting.
A) spending as much as the competition
B) what it will take to do the job
C) percentage of sales
D) what can be spared

Question

Quizplus · Accepted Answer

Mini Makers is using the "spending as much as the competition" method of budgeting by allotting the same amount as its nearest competitor for promotional expenses.

Mini Makers, a Small Manufacturer of Action Figures, Is Formulating