Economics · Zero Base Budgeting
Assertion (A): Zero Base Budgeting requires managers to justify every budgeted expenditure starting from a zero base each budgeting period. Reason (R): Zero Base Budgeting eliminates the need to evaluate alternative levels of activity within decision packages.
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1A is incorrect but R is correct
- 2A is correct but R is incorrect✓
- 3Both A and R are correct but R is not the correct explanation of A
- 4Both A and R are correct and R is the correct explanation of A
Correct answer
A is correct but R is incorrect
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