Exercise 21-7 Cost variances LO C2 Presented below are definltions of certaln terms. Select the appropriate term from the dropdown list. The difference between actual and budgeted sales or cost caused by the difference between the actual price per unit and the budgeted price per unit. A planning budget based on a single predicted amount of sales or 2. production volume; unsuitable for evaluations if the actual volume differs from the predicted volume Preset costs for delivering a product, component, or service under normal conditions process of examining price and quantity differences. The difference between the total budgeted overhead cost and the overhead the differences between actual and budgeted sales 4. or costs and describing them in terms of the amounts that resulted from 5. cost that was allocated to products using the predetermined fixed overhead A budget prepared based on predicted amounts of revenues and expenses corresponding to the actual level of output. The difference between actual and budgeted cost caused by the difference between the actual quantity and the budgeted quantity The combination of both overhead spending variances (variable and fixed) and the variable overhead efficiency variance A management process to focus attention to areas where performance is close to the standard The difference between actual cost and standard cost, made up of a price variance and a quantity variance on significant variances and give less