The following data for August has been provided by Mirabelli Corporation.
-The budget variance for August is:
A) $6,960 F
B) $2,240 U
C) $2,240 F
D) $6,960 U

Question

The following data for August has been provided by Mirabelli Corporation. 
-The budget variance for August is:
A) $6,960 F 
B) $2,240 U 
C) $2,240 F 
D) $6,960 U

Quizplus · Accepted Answer

The budget variance is calculated by subtracting the actual cost from the budgeted cost. In this case, the actual cost is $2,240 and the budgeted cost is $4,480. Therefore, the budget variance is $2,240 U.

The Following Data for August Has Been Provided by Mirabelli