When choosing an activity measure for a flexible budget,it is best to choose an activity that is measured in dollars.

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When choosing an activity measure for a flexible budget, it is best to choose an activity that is relevant to the business operations, such as units produced, hours worked, miles driven, etc. Measuring activity in dollars may not accurately reflect the volume of business being generated and may not provide the best basis for creating a flexible budget.

When Choosing an Activity Measure for a Flexible Budget,it Is