The Following Data Relate to the Latest Period

question 8

Multiple Choice

The following data relate to the latest period. 11ec37eb_8baf_3476_97b9_6b632ba0e6a0__00 A statement is to be prepared that reconciles the difference between the flexible budget profit and the actual profit. Which TWO of the following will appear on this statement? (Choose two.)

• A) A favourable labour rate variance.
• B) A favourable sales volume contribution variance.
• C) An adverse sales price variance.
• D) An adverse labour efficiency variance.
• E) An adverse material price variance.

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Definitions:

Required Return

The minimum profit that investors expect to earn on their investment to compensate for the risk taken.

Initial Cash Flow

Refers to the initial amount of money spent or received at the start of a project or investment.

Building Cost

The total expenses incurred in constructing a building, including materials, labor, and any other costs.

Market Value

The present listed price for purchasing or selling an asset or company on the public market.