Which of the Following Will Not Result in an Unfavorable

question 105

Multiple Choice

Which of the following will not result in an unfavorable controllable margin difference?

• A) Sales exceeding budget; costs under budget
• B) Sales exceeding budget; costs over budget
• C) Sales under budget; costs under budget
• D) Sales under budget; costs over budget

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Definitions:

Net Income

The profit remaining after all expenses, taxes, and costs have been deducted from total revenue.

Assets

Resources owned or controlled by a business or individual that have expected future economic benefit.

Equity

The value of an owner's interest in a company, calculated as the difference between the assets and liabilities on a company's balance sheet.

Cash Inflows

The total amount of money being received by a company, from operations, investments, and financing activities.