The Carolina Products Company Has Just Completed a Flexible Budget

question 45

Multiple Choice

The Carolina Products Company has just completed a flexible budget analysis of 2^nd quarter operating income, as shown here:

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Based on the above data, which of the following statements would be a correct interpretation of the flexible budget variance for sales revenue?

• A) Decrease in price per unit
• B) Increase in variable cost per unit
• C) Increase in sales volume
• D) Increase in fixed costs

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Definitions:

Maternal Employment

Refers to the participation of mothers in the workforce while managing family responsibilities.

Detrimental Effects

Adverse or negative outcomes resulting from a specific action, behavior, or condition that can impact health, wellbeing, or environmental quality.

Custodial Mothers

Mothers who have been granted custody of their children, primarily responsible for their care.

Pre-Divorce Income

The level of income or financial resources available to a household or individual before the legal termination of a marriage.