The Difference Between an Actual and Budgeted Revenue or Cost

question 24

Multiple Choice

The difference between an actual and budgeted revenue or cost is called:

• A) liquidity.
• B) financial flexibility.
• C) variance.
• D) investing activities.

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Definitions:

Taxpayer's Principal Residence

The primary dwelling a taxpayer lives in for a major portion of the year, which can qualify for certain tax benefits like the mortgage interest deduction.

Standard Business Mileage

The set rate per mile the IRS allows for deduction when an individual uses their personal vehicle for business purposes.

Automobiles

Self-propelled vehicles designed for transport on public roads, commonly referred to as cars.

Cents Per Mile

An IRS-allowed method of calculating deductions for business vehicle expenses based on miles driven.