This Question: 2 pts 23 of 39 (19completo) This Test: 125 pts possibl Question H

Question

This Question: 2 pts 23 of 39 (19completo) This Test: 125 pts possibl Question Help The Carolina Products Company has completed the flexible budget analyais for the 2d quarter, which is as gliven below Flexible Sales Actual Budget Flexible Volume Static Results Variance Budget Variance Budget 12,800 Sales Revenue Variable Expenses Contribution Margin Fxed Expenses 12800 800 E 12.000 $62,720 $1,280 U $64,000 $4,000 F $60,000 22,520 Qu 26,,000 1,000 25,200 $35,200 $1,920 U $37,120 $2,320 F $34,800 34.000 OperatingIncome (loss)100 020 y 120 S2320 E. S800 34.100 100 24000 Which of the following statements would be a correct interpretation of the flexible budget variance for fixed expenses? O A. increase in variable cost per unit B. increase in sales volume O C. increase in foxed costs OD. decrease in price per unit

Explanation / Answer

Dear Student Thank you for using Chegg Please find below the answer Statementshowing Computations Paticulars c) increase in fixed costs Fixed costs are those cost which remains same at all levels of output thus increase in sales volume cannot be the answer Variable cost and sales have no impact on fixed cost thus option a and d are not correct

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.