Within which of the following categories are the major differences between functional and activity-based budgeting found?
A)overhead and selling and administration
B)direct materials and selling and administration
C)direct labour and overhead
D)direct materials and overhead

Question

Quizplus · Accepted Answer

The major differences between functional and activity-based budgeting are primarily found in how they handle overhead and selling and administration costs. Functional budgeting typically allocates these costs based on simple metrics like direct labor hours, while activity-based budgeting allocates costs more precisely based on the activities that drive them.

Within Which of the Following Categories Are the Major Differences