Johnson Construction Materials Company Has a Sales Office Which Sells

Multiple Choice

Johnson Construction Materials Company has a sales office which sells concrete culvert pipe to property developers. The sales office is a revenue center and must prepare a monthly performance report. Please view the partially completed performance report below: A company uses management by exception to address flexible budget variances. On which variance would the company focus first?

A) 40 inch
B) 26 inch long
C) 36 inch short
D) 32 inch