The weaknesses of an incremental budgeting system, Cost Accounting

Assignment Help:

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.

Related Discussions:- The weaknesses of an incremental budgeting system

Standard costing and variancees, LEV;LRV

LEV;LRV

Example of over and under absorption of production overhead, Example of Ove...

Example of Over and under absorption of production overhead costs By employing data from diagram assume such the production overhead absorption rate was computed where an acti

Relationship among variances, Relationship among variances We cannot o...

Relationship among variances We cannot over emphasize the central aim of variance analysis as outlined in the above paragraphs: that is to assign responsibility for a particu

Current funding availability, 1. The Initial Borrowings required are determ...

1. The Initial Borrowings required are determined by the amount required to start the project less the Cash Invested by the Corporation. The loans will always be principle & inte

P/v ratio., The sale turnover and profit during two period were as followin...

The sale turnover and profit during two period were as following Period 1=Sales Rs.20 Laks, and Profit Rs.2 Laks Period 2=Sales Rs.30 Laks, and Profit Rs.4.Laks Calculate P/V Ratio

Calculate the breakeven fee income, A company provides several different se...

A company provides several different services to its customers from a single office. Fixed costs of the office, including staff costs, are absorbed into the company's service costs

Cost estimation methods, using the high low method how do i calculate the c...

using the high low method how do i calculate the costs that are expected when the output expected is out of the range given for example cost prdctn volume 110000

Contract account, i want to understand everything about contract account

i want to understand everything about contract account

Operating cycle of a merchandiser, Explain and illustrate with your own exa...

Explain and illustrate with your own example the operating cycle of a merchandiser. Explain and illustrate the differences between a multiple-step income statement and a single

The purposes of cost accounting information, what are the purposes of cost ...

what are the purposes of cost accounting information

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages