Write a 50 word minimum peer responses each to the two answers “can be agree or disagree and why”.
1)
A flexible budget performance report provides a more valid assessment of performance than simply comparing actual costs to static planning budget costs because actual costs are compared to what costs should have been at the actual level of activity. As are book states in layman’s terms: apples are compared to apples. By using the flexible budget performance report, we actual see what are costs are for the amount of activity we do. Estimate costs can be dangerous some times, especially if you underestimate in a dramatic amount. By doing this flexible budget report, it allows a more favorable outcome for the cost that would be incurred. The difference between these is the revenue variance, which occurs because the revenue is less than expected for the actual level of activity. The results of this revenue can be changed by several factors, one which is the activity level, which is what your cost is associated to as well.
2)
The flexible budget performance report cleanly separates the differences between the static planning budget, and the actual results that are due to changes in activity (the activity variances) from the differences that are due to changes in prices and the effectiveness with which resources are managed ( the revenue and spending variances).The flexible budget is interposed between the static planning budget and actual results. In relation, revenue variance is is the difference between how the revenues should have been, given the actual level of activity, and the actual revenue for the period. A revenue variance is easy to interpret, a favorable revenue variance occurs because the revenue is greater than expected for the actual level of activity. An unfavorable revenue variance occurs because the revenue is less than expected for the actual level of activity. Actual results can differ for many reasons, the differences are usually due to change in the level of activity, change in prices, and changes in how effective resources are managed.
Last Completed Projects
| topic title | academic level | Writer | delivered |
|---|
Are you looking for a similar paper or any other quality academic essay? Then look no further. Our research paper writing service is what you require. Our team of experienced writers is on standby to deliver to you an original paper as per your specified instructions with zero plagiarism guaranteed. This is the perfect way you can prepare your own unique academic paper and score the grades you deserve.
Use the order calculator below and get started! Contact our live support team for any assistance or inquiry.
[order_calculator]