An Example of an Unfavourable Variance Would Be

question 18

Multiple Choice

An example of an unfavourable variance would be:

• A)an expense that is greater than budgeted
• B)a revenue that is greater than budgeted
• C)an expense that is less than budgeted
• D)a profit that is greater than budgeted

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Definitions:

Selling Price

The charge or fee extended to the purchaser for a product or service, typically aiming to cover costs and generate profit.

Advertising Budget

The amount of money allocated for promoting a product, service, or brand during a specific period.

Break-even

A position where overall costs and revenues balance out, culminating in zero net profit or loss.

Monthly Unit Sales

The total number of units of product sold in a month, often used to monitor sales trends and performance.