If an actual result is $5500 and corresponding amount of flexible budget on basis of actual level of output is $3500, then flexible budget variance will be
A. $2,500
B. $5,500
C. $3,500
D. $2,000
Answer: Option D
Solution(By Examveda Team)
Flexible budget variance = Actual result - Flexible budget= $5500 - $3500 = $2,000.
Related Questions on Management Accounting
A. resourcing
B. value acquiring
C. production
D. value acquaintance
Examining of past performance, exploring alternative and planning future is
A. learning
B. alternating
C. examining
D. deciding
Time that a company takes to create and produce a new product is classified as
A. management factor
B. time factor
C. customer factor
D. chain factor
Purpose of management accounting is to
A. past orientation
B. help banks make decisions
C. help managers make decisions
D. help investors make decision
Join The Discussion