Lincoln Corporation Used the Following Data to Evaluate Their Current

question 119

Multiple Choice

Lincoln Corporation used the following data to evaluate their current operating system. The company sells items for $19 each and used a budgeted selling price of $19 per unit.

What is the static-budget variance of revenues?

• A) $171,000 favorable
• B) $171,000 unfavorable
• C) $6,000 favorable
• D) $9,000 unfavorable

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Definitions:

Geologic Resources

Naturally occurring materials of economic value extracted from the Earth, including minerals, fossil fuels, and groundwater.

Floodplains

Flat or nearly flat land adjacent to a stream or river that experiences occasional or periodic flooding.

Cement Plant

A facility that produces cement from raw materials through a process of grinding and calcination.

Earthquakes

Sudden ground movements or shaking caused by the release of stress accumulated along geological faults or by volcanic activity.