If the Sales Activity Variance Was $8,000 Favorable and the Static

question 116

Multiple Choice

If the sales activity variance was $8,000 Favorable and the static budget variance was $10,000 Favorable,then the flexible budget variance was ________.

• A) $2,000 Favorable
• B) $2,000 Unfavorable
• C) $18,000 Favorable
• D) $18,000 Unfavorable

Calculate and analyze liquidity ratios to assess a company's short-term financial health.

Determine the operational efficiency and credit management of a company through inventory and receivables turnover periods.

Interpret profitability ratios to evaluate a company's earning potential.

Understand the significance of market valuation ratios and their impact on investor perceptions.

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Definitions:

Ordinal Random Variable

A random variable that has outcomes which can be ordered or ranked but does not necessarily have a quantitative value.

Nominal Random Variable

A variable that represents data which can be classified into distinct categories with no logical order.

Nominal Data

Data classified into categories that cannot be ordered or ranked; purely qualitative.

Interval Data

A type of data measurement where the intervals between values are meaningful, allowing for arithmetic operations to be performed.