The strategy whereby a company uses the current period's budget as a starting point in preparing next period's budget is referred to as:

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Incremental budgeting involves using the current period's budget as a starting point and then making incremental changes to it for the next period's budget. This helps ensure continuity and consistency in budget planning and is commonly used in many organizations. Mandated budgeting refers to a top-down approach where superiors set the budget for subordinates to follow. Zero-based budgeting involves starting from scratch and building the budget based on each individual expense or activity. Participative budgeting involves involving employees in the budgeting process to gain their input and ownership.

The Strategy Whereby a Company Uses the Current Period's Budget