Question

Fresh evaluation of every item of expenditure from the very beginning of each financial year is called ___________.

• A. fresh budgeting
• B. deficit budgeting
• C. performance budgeting
• D. zero-based budgeting

Answer 1

The correct option is D zero-based budgeting

Zero-based budgeting (ZBB) is a method of budgeting in which all expenses must be justified for each new period. Zero-based budgeting starts from a "zero base," and every function within an organization is analyzed for its needs and costs.