The Sales Volume Variance Is the Difference Between the ________

question 173

Multiple Choice

The sales volume 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 actual units sold and the static budget
• C) static budget and actual amounts due to differences in sales price
• D) flexible budget and static budget due to differences in fixed costs

---

Definitions:

Accrual Method

An accounting method that records revenues and expenses when they are earned or incurred, regardless of when the cash is received or paid.

Installment Sales Method

The installment sales method is an accounting technique used to recognize revenue and income on sales made through installment payments over time.

Intraperiod Tax Allocation

The process of allocating income taxes within a single financial reporting period, dividing the total tax expense among different parts of the financial statements.

Extraordinary Gain

Profits that arise from events that are unusual, infrequent, and not expected to recur in the foreseeable future.