Question 12 (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. The activity variance for revenue is favorable if the actual revenue for the period exceeds the revenue in the static planning budget. 2. An activity variance is the difference between an actual revenue or cost and the revenue or cost in the flexible budget that is adjusted for the actual level of activity of the period.

Which of the following statements is true? 1. The activity variance for revenue is favorable if the actual revenue for the period exceeds the revenue in the static planning budget. 2. An activity variance is the difference between an actual revenue or cost and the revenue or cost in the flexible budget that is adjusted for the actual level of activity of the period. Only gfatement I is true. Only statement II is true. Both statements are true. Neither statement is true