Question

The zero-based budget is the best method of budgeting because:

Answer 1

Answer:

The zero-based budget ensures that every dollar you make is assigned a specific purpose

Explanation:

Zero-based budge: It is also known as "zero-sum budget".

It refers to the process of creating a budget from nothing without using the previous year’s budget. It enables a firm allocate all its resources to expenses and debt payment.

Zero based budget ensures that every income made is allocated to a particular purpose without a remainder. The major goal of zero based budget is to ensure that revenue (income) less expenditure (spendings) is equal to zero.

That is, in zero based budgeting,

Income - expenditure= zero (0).

In other words,

income= expenses

Answer 2

Answer:

c.The zero-based budget ensures that every dollar you make is assigned a specific purpose

Explanation:

The zero based budget is making sure that every dollar has a name on paper on purpose before the month begins.