Answer the following question(s)using the information below.Abernathy Corporation used the following data to evaluate their current operating system.The company sells items for $10 each and used a budgeted selling price of $10 per unit.
-What is the static-budget variance of revenues?
A)$20,000 favourable
B)$20,000 unfavourable
C)$2,000 favourable
D)$2,000 unfavourable
E)$25,000 unfavourable

Question

Answer the following question(s)using the information below.Abernathy Corporation used the following data to evaluate their current operating system.The company sells items for $10 each and used a budgeted selling price of $10 per unit. 
-What is the static-budget variance of revenues?
A)$20,000 favourable 
B)$20,000 unfavourable 
C)$2,000 favourable 
D)$2,000 unfavourable 
E)$25,000 unfavourable

Quizplus · Accepted Answer

The static-budget variance of revenues is calculated by comparing the actual revenues to the budgeted revenues. If the actual revenues exceed the budgeted revenues by $20,000, it is considered a $20,000 favourable variance.

Answer the Following Question(s)using the Information Below