In which type of testing are test cases designed based on specific functions and non-functional attributes?

The correct choice is Requirements-based testing, as this type of testing focuses on the design of test cases that are explicitly derived from specified requirements of the system. In this context, requirements can refer to both functional and non-functional attributes dictated by the needs of the stakeholders, allowing testers to create test cases that ensure the software meets these requirements accurately.

In Requirements-based testing, testers start by analyzing the documented requirements to derive clear and precise test cases. This process ensures that all relevant functionalities are covered and that important non-functional aspects, such as performance and usability, are also addressed. This systematic approach aligns the testing process closely with the expectations set forth in the requirements documentation, which is vital for validating that the system behaves as intended.

The other options, while related to testing methodologies, do not specifically focus on both functional and non-functional attributes derived directly from requirements in the same manner that Requirements-based testing does.