Incremental Budgeting Allocates Increased or Decreased Funds to a Department

question 62

True/False

Incremental budgeting allocates increased or decreased funds to a department by using the last budget period as a reference point; only incremental changes in the budget request are reviewed.

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Definitions:

Manufacturing

The process of using tools, machinery, and labor to produce goods for sale, typically on a large scale.

Logistics

The detailed coordination of a complex operation involving many people, facilities, or supplies, in the context of moving and housing goods from point of origin to point of consumption.

Process Activities

The series of actions or steps taken in order to achieve a particular end in a process.

Resources

Assets, materials, or other items of value that can be used to produce goods and services or to achieve objectives.