Assume Sales Are the Cost Driver for Product Costs

question 77

Multiple Choice

Assume sales are the cost driver for product costs.The difference between the static budget amount for sales and the flexible budget amount for sales at the actual level of sales is called the ________.The difference between the flexible budget amount for sales at the actual level of sales and the actual amount for sales is called the ________.

• A) static variance; flexible budget variance
• B) master variance; flexible budget variance
• C) quantity variance; static budget variance
• D) sales activity variance; flexible budget variance

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Definitions:

Immigration

The action of coming to live permanently in a foreign country.

Economic Control

The regulation and manipulation of the economic activities and institutions by entities such as governments or large corporations, often to maintain power or achieve specific economic objectives.

Political Control

The mechanisms, processes, and strategies through which a government or political entity maintains its influence and authority over its jurisdiction.

Vertical Mosaic

A concept describing societies that are stratified not only by socioeconomic status but also by ethnicity, with different ethnic groups occupying different positions in the social hierarchy.