A health services organization is preparing its annual budget. In doing so, the organization examines each line of the prior year's budget and makes adjustments to reflect changes in the operating environment (e.g., inflation). Which of the following budgeting approaches does the organization most likely follow?

• A.Zero-based budgeting
• B.Conventional budgeting
• C.Top-down budgeting
• D.Participatory budgeting
• E.Capital budgeting

Which of the following variances is a hospital manager most likely to be held accountable for?

• A.Labor variance
• B.Supplies variance
• C.Volume variance
• D.Answers (a) and (b)
• E.Answers (a), (b), and (c)