The simplest measure of performance is the variance that compares:
A) standard material prices with actual material prices.
B) standard direct labor rates with actual direct labor rates.
C) budgeted sales revenue with actual sales revenue.
D) budgeted operating income with actual operating income.

Question

Quizplus · Accepted Answer

Budgeted operating income with actual operating income is the simplest measure of performance because it compares the planned results with the actual results.

The Simplest Measure of Performance Is the Variance That Compares