COMMERCE 2AB3 Study Guide - Final Guide: Pearson Education, Association To Advance Collegiate Schools Of Business, Fixed Cost

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 2AB3
• Professor: Karim Karim

Document Summary

Chapter 7 flexible budgets, direct-cost variances, and management control. Objective 7. 1: a master budget is ________, a budget which starts from a zero base, developed for a period for a planned output, developed at the end of a period, a type of flexible budget. Aacsb: analytical thinking: management by exception is a practice whereby managers focus more closely on ________, a static budget, areas that are not operating as anticipated, activity-based costing, exceptional decision-making models. ,000: a favorable variance indicates that ________, budgeted costs are less than actual costs, actual revenues exceed budgeted revenues, actual operating income is less than the budgeted amount, budgeted contribution margin is more than the actual amount. Lander corporation used the following data to evaluate their current operating system. The company sells items for each and used a budgeted selling price of per unit: what is the static-budget variance of revenues, ,000 favorable, ,000 unfavorable, ,000 favorable, ,000 unfavorable.