A Company Is Analyzing Month-End Results Compared to Both Static

question 77

Multiple Choice

A company is analyzing month-end results compared to both static and flexible budgets. This month the actual selling price was higher than projected in the static budget. What kind of variance would that produce?

• A) Favorable flexible budget variance for sales revenues
• B) Favorable sales volume variance for sales revenues
• C) Unfavorable flexible budget variance for sales revenues
• D) Unfavorable sales volume variance for sales revenues

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Definitions:

Macroeconomist

An economist who specializes in macroeconomics, the branch of economics dealing with the performance, structure, behavior, and decision-making of an economy as a whole, rather than individual markets.

Microeconomist

An economist focused on the behavior of individuals and firms in making decisions regarding the allocation of scarce resources.

Microeconomist

A specialist in microeconomics, which deals with the economic behavior of individuals, households, and firms, and how decisions are made on the allocation of resources.

Macroeconomist

An economist who specializes in macroeconomics, studying aggregated indicators and the behavior of the economy as a whole, including inflation, unemployment, and economic growth.