When using a flexible budget, a decrease in activity within the relevant range: Multiple Choice decreases variable cost per unit increases variable cost per unit decreases total costs increases total costs You may use the template which was sent to you by e-mail to help you answer the questions Tasty Company operates four food trucks which mainly serve each month the accounting department prepares a "performance report prior to sporting food near stadiums prior to sporting events and concerts. It prepares monthly budgets. At the end of ustomers served as its measure of activity. Planning (static) budget amounts and actual results for the month of June are given in the table below Complete the performance report (table) given below and then answer the question which follows below the table Actual Revenue Flexible busget Activity Planning Total Results& Variances (Static) Variance Spending Budget 10.000 Customers 10,600 served (a) $90,000 Revenue ($9.000) $99,640 Expenses: ges and$30,020 salaries ($12,000+ 1.500) $27000 COGS (S4.20q) S$42930 $42,000 Insurance $5,400 (S5,300) 2.520 Miscellaneous ($2,000+ 15q) Total $77800 $80 880 Expenses Wages and $30,020 salaries ($12.000+ $1.50q) $27000 COGS$42 930 ($4.20q) $42,000 $5,300 Insurance $5,400 ($5,300) $2 530 $3,500 Miscellaneous ($2.000+ $.15q) $77800 Total expenses 8088 $12 200 Net operating $18.Z60 income Which one of the following statements is correct (true) with respect to the information given above and/or the preparation and use of a performance report? Multple Choice The sum of all activity and "revenue and spending" variances must equal the cifference between the plorning budget net operating inconse" and the actual "net operating income Miscellaneous costs tor Tasty Company cen be best described as o "veriable cosr ly does not use performance reports but rather uses the four basic financial accounting stotiements to g the income statemeng fultilling its planning and control responubities Selling to customers at o higher selling price per unit than buxdgeted would result in n untavorabie vevenue& spending variance tor a unit olated cost leg cOGS)