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Figure
-Calculate VR2 in Figure 8-2.
Spending Variance
The difference between the actual amount spent and the budgeted amount for a particular account.
Revenue Variance
The difference between actual revenue and budgeted or forecasted revenue.
Revenue And Spending Variances
The differences between the actual amounts of revenue and spending and their budgeted or forecasted amounts, analyzed for budget control.
Flexible Budget
A flexible budget is an estimation tool that adjusts for changes in the volume of activity, allowing for a more realistic comparison of actual to budgeted performance.
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