You learned Static (fixed) Budgets in chapter 7, Flexible Budgets and Standard Costs (favorable & unfavorable variances) in chapter 8;

Now describe an example of how an unfavorable variance between actual and budget amounts in a fixed static (master) budget can become a favorable variance in a flexible budget report.

Also, since flexible budget is more accurate in measuring performance, can company just develop flexible budget without the static budget? Why or why not?