The Revenue Budget Variance Cannot Be Caused by Changes in Sales

question 131

True/False

The revenue budget variance cannot be caused by changes in sales mix as total sales is unaffected by sales mix.

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Definitions:

Contingent Liability

A potential financial obligation that may arise in the future depending on the outcome of an uncertain event or situation.

Probable Loss

A loss in financial terms that is likely to occur based on current information and judgment.

Reasonably Possible

A term used in accounting to describe a condition that could occur, affecting financial decisions or disclosures, based on current knowledge and events.

Note Disclosure

Additional information provided in a company's financial statements, explaining the numbers presented in the statements for clarity and completeness.