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A flexible-budget variance is $800 favorable for unit-related costs. This indicates that costs were: _____________

a. $800 more than the master budget
b. $800 less than for the planned level of activity
c. $800 more than standard for the achieved level of activity
d. $800 less than standard for the achieved level of activity

User Muhammad
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1 Answer

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Answer: $800 less than standard for the achieved level of activity

Step-by-step explanation:

A flexible budget variance refers to the difference that occurs between the results that are gotten by a flexible budget model and the actual results gotten.

Since the flexible-budget variance is $800 favorable for unit-related costs, this indicates that costs were $800 less than standard for the achieved level of activity.

Therefore, the correct option is D.

User ApathyBear
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