The Fixed Budget Performance Report of Boston Associates for the Year

Multiple Choice

The fixed budget performance report of Boston Associates for the year ended 30 June 2019 shows budgeted manufacturing costs of $540 000 and actual manufacturing costs of $570 000. The unfavourable variance of $30 000 must have been due to:

A) cost factors.
B) poor budgeting.
C) lack of supervision of workers.
D) cannot be determined from the information provided.