Which of the Following May Cause a Favorable Sales Volume

question 85

Multiple Choice

Which of the following may cause a favorable sales volume variance of the revenues?

• A)Actual net income for the subunit is greater than budgeted net income.
• B)Actual sales in dollars are greater than the master budget sales in dollars.
• C)The flexible budget sales in dollars are greater than the static budget sales in dollars.
• D)Actual sales in dollars are less than the static budget sales in dollars.

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Definitions:

Basic Concept

Fundamental ideas or principles that serve as the foundation for a subject or theory.

Mental Set

A psychological tendency to approach situations in a certain way due to past experiences and perceptions, which can sometimes hinder problem-solving.

Mental Image

A mental representation that mirrors or resembles the thing it represents; mental images occur in many and perhaps all sensory modalities.

Sensory Modalities

Different forms of sensory perceptions, such as sight, sound, touch, taste, and smell, through which we experience the world.