Types of Cost / Classification of Costs

What is Cost? It refers to the monetary expenditure which a firm has to incur in order to purchase or hire the factors of production. It is the expense of purchasing or hiring factor services for production and other business activities. Classification of Cost / Types of Cost There are various types of cost: On the basis of Nature of […]

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Zero Based Budgeting – Features, Process, Advantages and Disadvantages

Zero Based Budgeting Zero Based Budgeting was originally developed by Peter A Pyhrr at Texas instruments.  He defined Zero Based Budgeting as “an operating, planning and budgeting process which require each manager to justify his entire budget request in detail from scratch and shifts the burden of proof to each manager to justify why he should spend any money at all.” […]

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