Flexible Budget Variance Is the Difference Between The

question 162

Multiple Choice

Flexible budget variance is the difference between the:

• A)actual results and the expected results in the flexible budget for the actual units sold.
• B)expected results in the flexible budget for the units expected to be sold and the static budget.
• C)flexible budget and actual amounts due to differences in volumes.
• D)flexible budget and static budget due to differences in fixed costs.

---

Definitions:

Useful Life

The estimated period over which it is expected that an asset will be profitable or useful to its owner.

Units-Of-Activity

A depreciation method that allocates the cost of an asset over its useful life based on its actual usage or activity level.

Factory Machinery

Refers to the physical equipment used in the production process within a manufacturing facility.

Delivery Equipment

Assets such as trucks and vans that are used by a business to transport products to customers.