Increased productivity of workers might not be reflected on the static budget variance if there were also:
A) Greater sales than planned
B) Less sales than planned
C) Less production than planned
D) Greater production than planned
E) None of the above

Question

Quizplus · Accepted Answer

Increased productivity could lead to greater production than planned, which might offset the positive effects on the static budget variance, as the static budget is based on planned production levels.

Increased Productivity of Workers Might Not Be Reflected on the Static