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    Question

    Which of the following is a key advantage of adopting

    Zero-Based Budgeting (ZBB) in an organisation?
    A It promotes incremental budgeting based on historical expenditures. Correct Answer Incorrect Answer
    B It simplifies the allocation of fixed overhead costs across departments Correct Answer Incorrect Answer
    C It enables identification and elimination of nonessential or obsolete operations. Correct Answer Incorrect Answer
    D It reduces the requirement for managerial approval and justification of expenses Correct Answer Incorrect Answer

    Solution

    The correct answer is C

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