The Flexible-Budget Variance for Direct Cost Inputs Can Be Further

question 57

Multiple Choice

The flexible-budget variance for direct cost inputs can be further subdivided into a ________.

• A) static-budget variance and a sales-volume variance
• B) sales-volume variance and an efficiency variance
• C) price variance and an efficiency variance
• D) static-budget variance and a price variance

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Definitions:

Abandoned

Refers to property that has been left by its owner without any intention to reclaim or use it again.

Knock-Out Rule

A principle in contract law that resolves conflicts in standard form contracts (often in international trade) by nullifying conflicting terms and substituting them with terms of a neutral nature.

Gap-Filling

Refers to the method used by courts or parties to resolve ambiguities or omissions in contracts, often by applying standard provisions or reasonable interpretations.

Presumptions

Beliefs or assumptions accepted as true on the basis of probabilities without direct evidence or proof.