The Following Data Are for Sponge Corporation: Flexible Budget For \begin{array}{llll}

question 4

Multiple Choice

The following data are for Sponge Corporation: Flexible Budget for
$\begin{array}{llll}&& \text { Master } & \text { Actual Sales } \\&\text { Actual } & \text { Budget } & \text { Activity }\\\text { Units } & \underline{18,000} & \underline{16,000} & \underline{18,000} \\\text { S ales } & \$ 360,000 & \$ 320,000 & \$ 360,000 \\\text { Variable costs } & 234,000 & 192,000 & 216,000 \\\text { Contribution } & \$ 126,000 & \$ 128,000 & \$ 144,000 \\\text { margin }\\\text { Fixed costs } &76,000 & \$ 80,000 & \$ 80,000\\\text { Operating income } &\$ 50,000&\$ 48,000&\$64,000\\\end{array}$ The total of the sales- activity variances is:

• A) $16,000 unfavorable
• B) $14,000 unfavorable
• C) $16,000 favorable
• D) $14,000 favorable

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Definitions:

Goal Achievement

The successful accomplishment of predetermined targets or objectives, often used in personal development, healthcare, and organizational settings.

Impaired Physical Mobility

A decreased ability to move freely and independently, which may affect daily activities and quality of life.

Expected Outcome

The anticipated result or effect of a treatment or medical intervention, based on clinical knowledge and patient history.

Ambulate

To walk or move from one place to another, especially pertaining to patients' ability to do so.