CAF-7 · Chapter 11 · Question 8 of 15
In the context of zero-based budgeting (ZBB), what is a 'decision package'?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) A document identifying all possible services and their specific costs, which management ranks in order of importance
Explanation
In ZBB, a decision package is a comprehensive document that identifies a specific activity or level of service, calculates its cost, and evaluates its benefits. Management then ranks these packages to allocate limited funds.
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