Question

Which of the following is the most appropriate definition of ‘Zero-base’ in ‘Zero–base budgeting ?

• A. Budget starts with 0 point
• B. Making budgetary grants without a base
• C. All programmes of decision package of an agency are reexamined afresh every year
• D. All of these
• E. None of these

Answer 1

The correct option is C

All programmes of decision package of an agency are reexamined afresh every year

All programmes of decision package of an agency are re-examined afresh every year in 'Zero-base budgeting'.