Which Is NOT a Reason for a Static Budget Variance

question 60

Multiple Choice

Which is NOT a reason for a static budget variance?

• A)Actual sales volume was higher than projected sales volume.
• B)Actual variable costs per unit were higher than expected variable costs per unit.
• C)Actual fixed costs per unit were higher than expected fixed costs per unit.
• D)Actual sales volume in current period was higher than projected sales volume in last period.

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Definitions:

Q₄

Refers typically to the fourth quarter of a financial year, marking the last segment of the fiscal calendar for businesses and economies.

Economic Profit

The variance between total income and all costs, both seen and unseen, of a company.

Business Shutdown

A temporary or permanent cessation of operations by a firm due to financial difficulties or external circumstances.