Assume Sales Are the Cost Driver for Product Costs

Multiple Choice

Assume sales are the cost driver for product costs.The difference between the static budget amount for sales and the flexible budget amount for sales at the actual level of sales is called the ________.The difference between the flexible budget amount for sales at the actual level of sales and the actual amount for sales is called the ________.

A) static variance; flexible budget variance
B) master variance; flexible budget variance
C) quantity variance; static budget variance
D) sales activity variance; flexible budget variance