Which Statements Is Correct Concerning a Flexible Budget

question 1

Multiple Choice

Which statements is correct concerning a flexible budget?

• A)A flexible budget is not appropriate when costs and expenses are affected by fluctuations in volume limits.
• B)A flexible budget is appropriate for any relevant level of activity.
• C)A flexible budget is appropriate for control of factory overhead but not for control of direct materials and direct labor.
• D)A flexible budget is appropriate for control of direct materials and direct labor but not for control of factory overhead.

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