Question

Zero-based budgeting forces managers to:

A. identify and prioritize the activities that are carried out in their departments.
B. justify all of their expenditures for each budget period.
C. both identify and prioritize the activities that are carried out in their departments and justify all of their expenditures for each budget period.
D. none of these.

Answer 1

Zero-based budgeting forces managers to justify all of their expenditures for each budget period.

Step-by-step explanation:

Zero-based budgeting forces managers to justify all of their expenditures for each budget period. This approach requires managers to start the budgeting process from scratch, rather than simply making incremental changes to the previous year's budget. By examining and justifying each expense, managers are able to prioritize activities and allocate resources more efficiently. Therefore, the correct answer is B. justify all of their expenditures for each budget period.