In extending an expense item for the current budget year,an often-used and useful approach is to
A)use last year's figure.
B)use the average of the last three years.
C)use last year's figure plus a usual 10% "fudge factor."
D)adjust last year's figure upwards by this year's expected inflation.

Question

Quizplus · Accepted Answer

Adjusting last year's figure upwards by this year's expected inflation accounts for changes in the cost of goods and services, providing a more accurate budget estimate.

In Extending an Expense Item for the Current Budget Year,an