7 0 Question 13 (1 point) Which of the following statements is true? Only statement I is true. Only statement II is true. Both statements are true. Neither statement is true. 1. A flexible budget report should exclude variable costs because they can be expected to change with a change in the level of activity. 2. A flexible budget performance report contains activity variances but not revenue or spending variances.

Which of the following statements is true? 1. A flexible budget report should exclude variable costs because they can be expected to change with a change in the level of activity. 2. A flexible budget performance report contains activity variances but not revenue or spending variances. Only statement I is true: Only statement II is true. Both statements are true. Neither statement is true