The flexible budget variance is? Select one:

a. The sum of the static budget variance and the sales volume variance (sales volume variance)

b.The sum of current direct materials and direct labor costs + budgeted indirect costs

c.The sum of the denominator level variance + the static budget variance

d.The sum of the price change + the efficiency change

The operational budget mainly supports decisions of: Select one:

a. How to acquire equipment and buildings

b.Optimal use of scarce resources

c.How to meet shareholder expectations

d.How to obtain funds to acquire resources

Budgetary slack and padding refer to the practice of: Select one:

a. prepare pro forma financial statements

b.motivate budgets to reflect realities beyond the relevant range of activity (relevant volume range)

c.underestimating income in the budget and overestimating expenses in the budget

d.incentivize managers to approximate their budget goals to reality