Which One of the Following Would Be the Same Total

question 114

Multiple Choice

Which one of the following would be the same total amount on a flexible budget and a static budget if the activity level is different for the two types of budgets?

• A) Direct materials cost
• B) Direct labor cost
• C) Variable manufacturing overhead
• D) Fixed manufacturing overhead

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Definitions:

Promissory Note

A Promissory Note is a financial instrument that contains a written promise by one party to pay another party a definite sum of money either on demand or at a specified future date.

Simple Interest

Interest calculated only on the principal amount, not on previous interest earned.

Discounted

Refers to the reduction of an item's price or the present value calculations of future cash flows using a discount rate.

Promissory Note

A financial instrument containing a written promise by one party to pay another party a definite sum of money either on demand or at a specified future date.