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

question 173

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 fixed costs were lower than the expected fixed costs as per the static budget.This difference results in a(n) ________.

• A) unfavorable flexible budget variance for fixed costs
• B) favorable sales volume variance for fixed costs
• C) favorable flexible budget variance for fixed costs
• D) unfavorable sales volume variance for fixed costs