Question
Today Company has the following information: Actual operating loss at 5,000 units $(11,000) Budgeted operating income at 5,000 units $5,000 Budgeted operating income at 10,000
Today Company has the following information:
Actual operating loss at 5,000 units $(11,000)
Budgeted operating income at 5,000 units $5,000
Budgeted operating income at 10,000 units $12,000
Planned level ofoperations10,000 units
Actual level ofoperations5,000 units
Assume the cost driver of product costs is units of production. What is the flexible budget variance for operating income?
| A. | $11,000 Unfavorable |
| B. | $16,000 Favorable |
| C. | $16,000 Unfavorable |
| D. | $5,000 Unfavorable |
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Accounting For Governmental And Nonprofit Entities
Authors: Jacqueline Reck, Suzanne Lowensohn, Daniel Neely
19th Edition
1260118851, 9781260118858
