(a) A budget is a quantified short term financial plan of action for a forthcoming

accounting period.

There are different approaches to budgeting and Zero based budgeting is one

among the different approaches.

Explain what you understand by Zero Based Budgeting and critically assess the

use of same as a tool that might be used to motivate employees.

(b) Give FOUR uses of budgeting system in an organization in each of the following areas:

(i) planning

(ii) Control