A Company Is Analyzing Its Month-End Results by Comparing It

question 107

Multiple Choice

A company is analyzing its month-end results by comparing it to both static and flexible budgets. During the previous month, the actual sales volume was lower than the expected sales volume as per the static budget. This difference results in an unfavorable:

• A)flexible budget variance for variable expenses.
• B)sales volume variance for variable expenses.
• C)flexible budget variance for sales revenues.
• D)sales volume variance for sales revenues.

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Definitions:

Condition

A specific requirement or stipulation in an agreement or contract that must be met for the full agreement to be binding and effective.

Time for Performance

Time for Performance denotes the specific period within which a party to a contract is required to fulfill its obligations as stipulated in the agreement.

Court

A governmental institution authorized to resolve legal disputes between parties and carry out the administration of justice in civil, criminal, and administrative matters.

Reasonable Time

A legal concept indicating the period within which actions must be taken or conditions fulfilled, considered fair and appropriate under the circumstances.