The flexible budget report evaluates a manager's performance in two areas: (1) production and (2) costs.

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The flexible budget report is designed to evaluate a manager's performance in relation to both production and costs. By comparing actual results against what was budgeted and what could have been budgeted based on the actual level of output, managers are able to determine where their performance met expectations or exceeded them, as well as areas where they fell short. This information can then be used to make strategic decisions and identify areas where improvements can be made in the future.

The Flexible Budget Report Evaluates a Manager's Performance in Two