An Unfavorable Volume Variance for Variable Expenses Would Indicate That

question 133

Multiple Choice

An unfavorable volume variance for variable expenses would indicate that:

• A)fewer units were actually sold than the company had anticipated.
• B)the expenses of the company were less than what they had planned.
• C)more units were actually sold than the company had originally budgeted to sell.
• D)actual variable expenses were higher than the flexible budget variable expenses.

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Definitions:

Subordinate

An individual who reports to someone of higher rank within an organizational hierarchy, typically tasked with following directions and fulfilling assigned duties.

Rational Cognitive Processes

Thinking methods that rely on logical reasoning and objective analysis.

Emotional Processes

The mechanisms through which emotions influence the behavior and decisions of individuals and groups.

Prescriptive Theory

A theoretical approach that provides specific guidelines or frameworks for action to achieve desired outcomes.