Zhongfang Consumer Products Has a Small Car Division That Operates

question 43

Multiple Choice

Zhongfang Consumer Products has a small car division that operates as a profit center. Below is a partially completed performance report for the first quarter. $\begin{array}{|l|r|r|c|l|l|l} \hline & {\text { Actual }} & \begin{array}{c}\text { Flexible } \\\text { Budget }\end{array} & \begin{array}{c}\text { Flexible } \\\text { Budget } \\\text { Variance }\end{array} & \text { U/F } & \text { \% Variance } & \text { U/F } \\\hline \text { Sales Revenue } & \$ 688,000 & \$ 700,000 & & & & \\\hline \text { Variable expenses } & 309,000 & 320,000 & & & \\\hline \text { Contribution margin } & 379,000 & 380,000 & & & \\\hline \text { Traceable fixed expenses } & 371,000 & 368,000 & & & & \\\hline \text { Division margin } & \$ 8,000 & \$ 12,000 & & & &\\\hline \end{array}$

How much is the percentage flexible budget variance for sales revenue?

• A) 1.7 % F
• B) 1.7 % U
• C) 3.4 % U
• D) 3.4 % F

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Definitions:

Reference Super

An instance where the "super" keyword is used in Java to refer explicitly to a superclass's variables or methods.

Subclass Constructor

A constructor in a subclass that is used to initialize new instances of the subclass, potentially invoking the superclass constructor as part of the initialization process.

Superclass

Within object-oriented programming, a foundational class whose properties and methods are inherited by other classes.

Inheritance

A fundamental concept in object-oriented programming where one class can inherit fields and methods from another class, facilitating code reuse and polymorphism.