zero-based budgets, in contrast, are prepared based on the assumption that the company has just started operations. therefore, resources required have to be justified from scratch. for example, when budgeting staff cost for a restaurant, the manager expenses. Instead, he would examine factors such as the opening hours, numbers of tables, and expected patron numbers to work out the number of staff required at each position and level, and the resultant associate costs. the zeo-based method's figures would then be compared with the previous year's figures to check if they are reasonable