Select from the following to answer questions 1 through 4.

a. zero-based

b. formula

c. incremental

d. accrual

e. capital

f. flexible

1. If your boss told you to test this year’s budget for the impact of changes in expected client volume on your budgeted revenue and expenses, you would use a(n) ____________ budget.

2. ____________ budgets focus on proposed investments in valuable, long-lived resources.

3. Decision packages are normally associated with a(n) ____________ budget.

4. Operating budgets are normally done on a(n) ____________ basis.