Difference between flexible budget amount and corresponding static budget amount is classified as
A. sales revenue variance
B. cost profit variance
C. profit volume variance
D. sales volume variance
Answer: Option D
Solution(By Examveda Team)
Difference between flexible budget amount and corresponding static budget amount is classified as sales volume variance. The sales volume variance is the difference between the actual and expected number of units sold, multiplied by the budgeted price per unit.Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
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