Given Below Is an Excerpt from a Management Performance Report

question 86

Multiple Choice

Given below is an excerpt from a management performance report: $\begin{array}{llll}&\text { Budget }&\text { Actual }&\text { Difference }\\\text { Contribution margin } & \$ 600,000 & \$ 580,000 & \$ 20,000 \cup \\\text { Controllable fixed costs } & \$ 200,000 & \$ 220,000 & \$ 20,000 \cup\end{array}$ The manager's overall performance

• A)is 10% above expectations.
• B)is 10% below expectations.
• C)is equal to expectations.
• D)cannot be determined from the information provided.

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Definitions:

Master Budgets

A comprehensive financial plan for an organization, including all individual budgets related to sales, production, overhead, and capital expenditures.

Budget Coordinator

A person responsible for preparing, managing, and overseeing the budgeting process within an organization, ensuring financial resources are allocated efficiently.

Direct Materials Budget

A financial plan that estimates the raw materials needed for production and the associated costs for a specific period.

Long-Range Planning

The process of setting long-term objectives and determining the strategies to achieve these goals over an extended period.