Concept:Traditional budgeting uses the previous year's budget as the base, while zero-based budgeting starts from scratch.
Explanation:Zero-based budgeting requires every expense to be justified for each new period.
It begins from a zero base, not from the previous year's figures.
It ranks old and new activities by importance and allocates resources accordingly.
Zero-based budgeting systematically considers alternatives and allows flexible addition or removal of items.
Traditional budgeting takes last year's funding appropriation as its starting point.
Adjustments are then made for inflation, consumer demand, and market conditions.
Therefore, the statement that traditional budgeting starts with last year's funding appropriation is correct.
Answer:C. Traditional budgeting starts with last year’s funding appropriation