Which of the following statements regarding zero based budgeting are correct? (1) It is best applied to support expenses rather than to direct costs. (2) It can link strategic goals to specific functional areas. (3) It carries forward inefficiencies from previous budget periods. (4) It is consistent with a top-down budgeting approach.
A、(3) and (4)
B、(1) and (2)
C、(2) and (3)
D、(1) and (4)
A、(3) and (4)
B、(1) and (2)
C、(2) and (3)
D、(1) and (4)
【参考答案及解析】
ZBB is useful for support expenses as they are discretionary and it can be used to link strategic goals to specific functional areas, so Statements 1 and 2 are correct.
ZBB is useful for support expenses as they are discretionary and it can be used to link strategic goals to specific functional areas, so Statements 1 and 2 are correct.