What Could Cause a Sales Volume Variance for Fixed Expenses

question 198

Multiple Choice

What could cause a sales volume variance for fixed expenses?

• A)Insurance costs on the factory rise unexpectedly during the year due to a crisis in the insurance industry.
• B)The union calls for a strike of factory workers and temporary workers are hired to fill in for the striking employees.
• C)The lease on the manufacturing facility is renegotiated and the lease payments increase during the year.
• D)The number of units actually sold falls within a different relevant range than the static budget sales volume.

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Definitions:

Vicarious Conditioning

Learning behavioral responses through the observation of others' reactions to stimuli, without direct experience.

Observational Learning

Learning that occurs by observing the behavior of others and the consequences of that behavior, without direct experience.

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A state of economic deprivation, lacking sufficient financial resources to meet basic living expenses.

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The physical and emotional response that occurs when the requirements of a job do not match the capabilities, resources, or needs of the employee.