If the static budget amount is $9000, the flexible budget amount is $20000, then the sales volume variance will be _________?
Correct answer: B. $11,000
- A. $29,000
- B. $11,000
- C. $15,000
- D. $10,000Accounting & Auditing
Explanation
Sales volume variance equals the flexible budget minus the static budget: $20,000 - $9,000 = $11,000. This variance results from selling a different quantity than originally planned.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? support@testustad.com
About Cost Accounting
Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.
Practise Cost Accounting
941 free Cost Accounting MCQs from Accounting, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Exams that ask Accounting questions like this
Accounting is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Cost Accounting questions
The flexible budget variance for the revenues of company is classified as __________?
If the actual result is $26000, the flexible budget amount is $13000, then the flexible budget amount will be __________?
If the static budget is $208000 and the flexible budget amount is $305000, then the sales budget variance will be ___________?
If the static budget amount is $6000 and the flexible budget amount is $15000, then the sales volume variance will be ___________?
If the number of units are 3000 and the per unit price is $500, then the flexible budget variable will be _______?
The budget which calculates the expected revenues and expected costs, based on the actual output quantity is named as __________?