If the sales activity variance was $8,000 Favorable and the static budget variance was $10,000 Favorable,then the flexible budget variance was ________.
A) $2,000 Favorable
B) $2,000 Unfavorable
C) $18,000 Favorable
D) $18,000 Unfavorable

Question

Quizplus · Accepted Answer

The flexible budget variance can be calculated by subtracting the sales activity variance from the static budget variance. Therefore, $10,000 Favorable - $8,000 Favorable = $2,000 Favorable.

If the Sales Activity Variance Was $8,000 Favorable and the Static