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A management team prepares budgets in order to assess whether the company is operating as effectively and profitably as expected. If a company prepares a
A management team prepares budgets in order to assess whether the company is operating as effectively and profitably as expected. If a company prepares a flexible budget performance report with actual sales of units to flexible budgeted sales at the same sales volume level but the actual operating income exceeds the flexible budget's operating income, the flexible budget performance report will indicate which of the following?
A favorable volume variance
A favorable comprehensive variance
A favorable flexible budget variance
An unfavorable comprehensive variance
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