Both the Sales Volume Variance and the Flexible Budget Variance

question 237

True/False

Both the sales volume variance and the flexible budget variance help revenue center managers understand why they have exceeded or fallen short of budgeted revenue.

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Definitions:

Interrelationships

Mutual or reciprocal relations between components of a system, indicating how they influence or interact with each other within a framework or process.

Crashing

Shortening activity time in a network to reduce time on the critical path so total completion time is reduced.

Network

A collection of interconnected devices or people that exchange data, resources, or communications.

PERT Analysis

Program Evaluation and Review Technique; a project management tool used to plan, schedule, and control complex tasks.