Senior management centrally directs and controls budgets based on _____ budgeting.
A)top-down
B)zero-based
C)bottom-up
D)incremental

Question

Quizplus · Accepted Answer

This is the most appropriate choice as senior management centrally directs and controls budgets in a top-down budgeting approach. In this approach, the budget is prepared by top-level management based on their goals and objectives and then allocated down to lower-level departments or units. This ensures uniformity in budgeting and that the budget aligns with the organization's overall strategy. The other options (B) zero-based budgeting, (C) bottom-up budgeting, and (D) incremental budgeting involve different processes of budgeting and are not as suitable for senior management to centrally direct and control budgets.

Senior Management Centrally Directs and Controls Budgets Based on _____