Global Engineering's Actual Operating Income for the Current Year Is

question 13

Multiple Choice

Global Engineering's actual operating income for the current year is $56,000.The flexible budget operating income for actual sales volume is $51,000,while the static budget operating income is $54,000.What is the sales volume variance for operating income?

• A) $3000 favorable
• B) $2000 unfavorable
• C) $3000 unfavorable
• D) $2000 favorable

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Definitions:

Neurotic

Refers to an individual experiencing emotional distress but not losing touch with reality, often resulting from underlying stress or anxiety.

Conscious

Being cognizant and reflective of one's own life, perceptions, thoughts, the environment, and life events.

Rational Way

Approaching situations and problem-solving based on logical reasoning, facts, and systematic thought processes.

Unconscious Processes

Mental activities outside of conscious awareness, influencing thoughts, feelings, and behaviors according to psychoanalytic theory.