answersLogoWhite

0


Best Answer

A good example of incremental budgeting is like that used by governments. A government can simply look at the previous year's budget and decide to make greater allocations to each major cost such as education or military.

User Avatar

Wiki User

9y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What is an example of incremental budgeting?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What are the advantages and disadvantages of incremental budgeting?

Some of the advantages of incremental budgeting are that this type of budgeting is easy and quick. Some disadvantages of incremental budgeting are that different methods for achieving the objective may not be considered and if the budget is not fully spent it can be reduced during the next period.


Should financing cost be included as an incremental cash flow in capital budgeting analysis?

Incremental Cash flows are included in capital budgeting decision and if capital budgeting decisions require acquisition of money from open market then its financial cost is also relevant for decision making and it is also included in it.


Why do Depreciation expenses affect capital budgeting analysis by increasing?

it is increasing the incremental cash flow


What is a major feature of incremental budgeting?

Provides small increases in the current budget over the previous year's budget.


What incremental budgeting?

Incremental Budgeting is a system that uses the previous period's budget (or actual performance) as a basis for the next period's budget. Incremental amounts are added to the previous period's budget for the new budget period. Since this is based on allocations from the previous period and is progressive it could lead to a "spend it or lose it" attitude which is not very cost effective for an organization. It doesn't take into consideration changing circumstances either. The only real advantage is it is simple and change is gradual.


What kind of dating is counting tree rings an example of?

Incremental


What is an example of Incremental repetition?

She was lovely, lovely beyond words.


Counting tree rngs is an example of which type of dating?

incremental


What does the word budgeting mean?

Budgeting means making a financial plan about how much money to spend on specific items. You might say for example, I am budgeting a thousand dollars for snacks.


Provide three example of software projects that would be amenable to the incremental model?

Provide three examples of software projects that would be amenable to the incremental model. Be specific.


How do sunk costs affect the determination of cash flows?

When evaluating a capital budgeting proposal, sunk costs are ignored. We are interested in only the incremental after-tax cash flows, or free cash flows, to the company as a whole. Regardless of the decision made on the investment at hand, the sunk costs will have already occurred, which means these are not incremental cash flows. Hence, they are irrelevant.


What is incremental plagiarism?

Incremental plagiarism in a basic sense, is when a source is failed to be cited in only an area of work. For example if you write a speech and quote a famous speaker, but fail to cite the source/speaker.