The objective-and-task budgeting method: which statement is true?

• A. The cost of achieving campaign objectives is estimated and summed
• B. A budgeting method based on historical spending without objectives
• C. A random allocation across channels
• D. A lottery-based budget

Answer: (A)

Objective-and-task budgeting builds the budget by first defining what the campaign aims to achieve, then identifying the specific tasks needed to reach those goals, estimating the cost of each task, and adding all those costs together. This approach centers the funding on the work required to meet clear objectives, so the total budget reflects what it will actually take to accomplish the campaign purpose. That’s why the statement is true: the cost of achieving campaign objectives is estimated and summed.

It isn’t based on historical spending without objectives, which would simply repeat past dollars rather than plan for future goals. It also isn’t a random allocation across channels or a lottery-based budget, both of which ignore the tasks and outcomes the campaign intends to deliver.