Which of the Following Items Would Differ in Amount When

question 40

Multiple Choice

Which of the following items would differ in amount when comparing the master and flexible budgets for a freight company in which actual sales resulted in $2,500,000 based on 8,000 shipments during a period that 7,800 shipments were budgeted?

• A)Total sales revenue.
• B)Equipment costs.
• C)Rent.
• D)All of the above will differ.

---

Definitions:

Advertising

The activity or profession of producing advertisements for commercial products or services to attract potential customers or clients.

Ad Substantiation

An FTC standard requiring advertisers to have a reasonable basis for the claims made in their ads.

Reasonable Basis

A justification or foundation for belief or action that is considered fair or sensible under given circumstances.

Claims

Demands for something due or believed to be due, typically used in the context of legal or insurance disputes.