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Management · Q331

Management Accounting

Graduate and Post Graduate · Management · question 331

Q331

In static budget, difference between corresponding budgeted amount and actual result is called

A.
sales mix variance
B.
sales volume variance
C.
flexible budget variance
D.
static budget variance
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
In static budget, difference between corresponding budgeted amount and actual result is called static budget variance. Static budget variances are the differences between what a company or individual thought it would spend in its budget versus what it actually did.