The weaknesses of an incremental budgeting system, Cost Accounting

Traditional budgeting  systems are  incremental  in nature and  tend  to  focus on  cost  centres.  Activity-based  budgeting  links  business  planning  to  the  budgeting  process  with  a  view  to searching the most cost-effective means of achieving objectives.  
Requirements:

(a)  Describe the weaknesses of an incremental budgeting system.  
(b)  Explain the main  features of an activity-based budgeting system and comment on the benefits claimed for its use.  

Posted Date: 3/18/2013 6:54:23 AM | Location : United States







Related Discussions:- The weaknesses of an incremental budgeting system, Assignment Help, Ask Question on The weaknesses of an incremental budgeting system, Get Answer, Expert's Help, The weaknesses of an incremental budgeting system Discussions

Write discussion on The weaknesses of an incremental budgeting system
Your posts are moderated
Related Questions
Does it make sense for PP's management to use so many discount rates in its evaluation? Explain. What additional information would you like to have to make a more informed decis

difference between diffrential cost and marginal cost


Assume your grandparents have just given you $20,000 on the condition that you invest the money in the stock market. As you contemplate making your investment choices, what accoun

XYZ Corporation recieves $100,000 from investors for issuing them shares of its stock. XYZ's journal entry to record this transaction would include a a debit to investment b

The following information is for the third quarter of this year: Planned Actual Production 92,000 units 87,000 units Direct labor hours 506,800 DL hrs 380,000 DL hrs Fixed manuf

behavioral aspect of standard costing

Absorption Costing and Marginal Costing Product costs are costs identified along with goods produced or purchased for resale. That costs are initially identified like part of

Break-even analysis can be used to work out either a break-even volume or revenue, as per given a multiple product scenario. This is achieved using 'average contribution per unit'

A. Bolero Industries Ltd. has been approached by a customer who would like a special job to be done for her, and is willing to pay $60,000 for it. The job would require the followi