Given a static budget of $9,000 and a flexible budget of $20,000, what is the sales volume variance?

Multiple choice question for Flexible Budget and Management Control. Select an option, then review the explanation below.

Explanation

The sales volume variance is calculated as the difference between the flexible budget and the static budget. Here, $20,000 minus $9,000 equals $11,000, which represents the sales volume variance.

Practice related questions from the same subject.

1.Given that the sales budget variance for operating income is $58,000 and the static budget figure is $15,000, what is the value of the flexible budget?
2.Given a flexible budget value of $82,000 and an actual outcome of $45,000, what is the variance between the flexible budget and the actual result?
3.Given a flexible budget of $27,000 and a flexible budget variance of $12,000, what is the actual amount recorded?
4.Given a sales budget variance of $47,000 and a flexible budget figure of $77,000, what is the value of the static budget?
5.Given a sales budget variance of $57,000 and a flexible budget total of $97,000, what is the value of the static budget?

Given a static budget of $9,000 and a flexible budget of $20,000, what is the sales volume variance?

Explanation

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