Advantage and disadvantages of zero based budgeting, Cost Accounting

Assignment Help:

Advantage and Disadvantages of Zero Based Budgeting

Advantages

1. Resources allocation is more efficient.

2. Focus attention on values for money and makes clear relationship between output and input.

3. Develops a questioning altitude and makes it easier to identify obsolete as well as inefficient and less cost effective operations.

4. Leads to greater management and staff knowledge of operations.

Disadvantages

1. Time consuming.

2. High skills essential.

3. May encourage wrong impression that every decisions must be made via budgets.

4. Short- term benefits may be emphasized to the detriment of long-term benefits.


Related Discussions:- Advantage and disadvantages of zero based budgeting

Approach in cost accounting, Approach in Cost Accounting Cost accounti...

Approach in Cost Accounting Cost accounting is based on the framework or concept of cost centers that is all the costs incurred throughout the production process contain to be

Prepare a statement of cash flows, 2012                     2011 Cash   ...

2012                     2011 Cash                               12200                 17700 Acct receivable                  25200                  22300 Investments

Relevant costs, What are investment appraisal methods when opening a new pr...

What are investment appraisal methods when opening a new project?

Comparison between marginal and absorption costing, Comparison between Marg...

Comparison between Marginal Costing and Absorption Costing There are accountants who favour all costing method. Arguments in favour about absorption costing are specified a

Recording Transactions, I have a project due this week and I am having slig...

I have a project due this week and I am having slight issues with the transactions. I cannot seem to receive the correct titles under the recordings

Reserves and surplus, Reserves and surplus or retained earnings usually occ...

Reserves and surplus or retained earnings usually occur out of profitable operations. This is a surplus not distributed through the firm as dividends. Conversely, these are profits

Compute the days'' sale, Year Ending April 2009, 2009 April 30, 2008 Net Sa...

Year Ending April 2009, 2009 April 30, 2008 Net Sales $10,148,082 $10,070,778 Accs Receivable 1,171,797 1,161,481 Assume that the accounts receivable (in thousands) were $996,852 a

Traditional Costing System and Job Order Costing System, Hello, I''m curren...

Hello, I''m currently doing a research on a company and planning an Activity Based Costing system since the company is using Traditional Costing system to allocate the overhead to

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd