The budgeting process that involves adding a month to the end of the budget period at the end of each month,thus maintaining a twelve-month planning horizon,is referred to as:
A) participative budgeting.
B) capital budgeting.
C) continuous budgeting.
D) zero-based budgeting.

Question

Quizplus · Accepted Answer

Continuous budgeting involves adding a month to the end of the budget period at the end of each month to maintain a twelve-month planning horizon. Participative budgeting involves involving employees in the budgeting process, capital budgeting involves budgeting for long-term investments or projects, and zero-based budgeting involves starting the budget process from scratch every year.

The Budgeting Process That Involves Adding a Month to the End