A Common Approach to Budgeting Line-Items Whereby the Current Year's

question 27

Multiple Choice

A common approach to budgeting line-items whereby the current year's budget is constructed by adding or subtracting amounts expected to be required by line items is:

• A) Performance budgeting.
• B) Zero-based budgeting.
• C) Program budgeting.
• D) Incremental budgeting.

---

Definitions:

Share Of Wallet

The proportion of a customer's total spending that is captured by a business, indicating the customer's loyalty and the effectiveness of the company's marketing.

Customer Loyalty

The likelihood of previous customers to continue purchasing from a specific retailer or brand over time.

Purchases

The act of buying goods or services, an exchange of money for ownership or use.

Private-label Brands

Brands that are owned by retailers or suppliers, not the manufacturers, but are produced by third parties.