Which of the Following Statements Is TRUE

question 5

Multiple Choice

Which of the following statements is TRUE?

• A)The fixed manufacturing sales-volume variance is rarely zero.
• B)The difference between the allocated and the budgeted overhead is the production-volume variance.
• C)The production-volume variance arises for both fixed and variable costs.
• D)The fixed manufacturing overhead sales-volume variance can be written-off to cost of goods sold.
• E)The production-volume variance arises only for variable costs.

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Definitions:

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