The flexible budget variance reflects
A)how efficiently the company operated in producing a given sales volume.
B)how effectively the company reached its strategic goals.
C)a different volume of activity than used in the static budget.
D)the amount of each resource originally planned for usage in operations.

Question

Quizplus · Accepted Answer

The flexible budget variance measures the difference between the actual results and the flexible budget, which is adjusted for the actual level of activity. It reflects how efficiently the company operated in producing a given sales volume.

The Flexible Budget Variance Reflects