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Management · Q153

Management Accounting

Graduate and Post Graduate · Management · question 153

Q153

If flexible budget variance is 95000 and an actual cost is 40000, then flexible budget cost would be

A.
$135,000
B.
$45,000
C.
$50,000
D.
$55,000
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Flexible budget cost = Flexible budget variance - An actual cost
= 40000 = $55,000.