An often used approach to budgeting that simply derives the subsequent year's budget from the current year's budget is called:
A) Planning-programming-budgeting.
B) Incremental budgeting.
C) Zero-based budgeting.
D) Performance budgeting.

Question

Quizplus · Accepted Answer

The approach described of deriving the subsequent year's budget from the current year's budget is known as incremental budgeting. It is also sometimes called "baseline budgeting." This method is based on making adjustments to the previous year's budget to accommodate changes such as inflation, salary increases, and other factors that affect budgeting. The advantage of this approach is that it is straightforward and relatively easy to implement, but the disadvantage is that it can lead to a lack of innovation and exploration of more efficient and effective methods of spending.

An Often Used Approach to Budgeting That Simply Derives the Subsequent