Consider the following statements:

1. Zero-base budgeting is useful for comparing programmes and assisting financial decision makers.
2. Zero-base budgeting involves allocation of resources to agencies based on periodic re-evaluation by those agencies of the need for different programmes. Which of the statements given above is/are correct?

Zero-base budgeting (ZBB) requires managers to justify their entire budget from zero each周期, enabling comparison of programs based on cost-benefit analysis - making statement 1 correct. ZBB involves agencies periodically re-evaluating all programs and allocating resources based on need rather than historical allocations, making statement 2 correct. Both statements accurately describe ZBB's methodology.