Traditional budgeting is generally better than activity-based budgeting when attempting to reduce costs by eliminating non-value-added activities.

Question

Quizplus · Accepted Answer

Activity-based budgeting focuses on identifying and reducing non-value-added activities, while traditional budgeting may not prioritize this. Therefore, activity-based budgeting is generally better for reducing costs by eliminating non-value-added activities.

Traditional Budgeting Is Generally Better Than Activity-Based Budgeting When Attempting