corresponding variance
resultant variance
flexible budget variance
static budget variance
Answer is Right!
Answer is Wrong!
The correct answer is: C. flexible budget variance.
A flexible budget is a budget that is adjusted for changes in the level of activity. It is used to measure the performance of a company or organization by comparing actual results to what would have been expected if the level of activity had been at the budgeted level.
The flexible budget variance is the difference between the flexible budget amount and the corresponding actual result. It is a measure of how well a company or organization has managed its costs in response to changes in the level of activity.
The other options are incorrect because:
- A corresponding variance is a variance that is calculated by comparing actual results to the budgeted amount for the actual level of activity.
- A resultant variance is a variance that is calculated by comparing the flexible budget amount to the static budget amount.
- A static budget is a budget that is not adjusted for changes in the level of activity. It is used to measure the performance of a company or organization by comparing actual results to what would have been expected if the level of activity had been at the budgeted level.