Distinguish between static and flexible budgets.

Question

Want to see more full solutions like this?

Answer 1

Textbook Question

Chapter 11, Problem 1RQ

Distinguish between static and flexible budgets.

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Distinguish between static and flexible budgets.

Answer 2

Textbook Question

Chapter 11, Problem 1RQ

Distinguish between static and flexible budgets.

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Textbook Question

Chapter 11, Problem 1RQ

Distinguish between static and flexible budgets.

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Textbook Question

Chapter 11, Problem 1RQ

Distinguish between static and flexible budgets.

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Answer 8

Expert Solution & Answer

To determine

State the difference between the static budgets and flexible budgets.

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

State the difference between the static budgets and flexible budgets.

Answer 12

Explanation of Solution

Flexible Budget: A flexible budget is a budget that is prepared for different levels of the output. In other words, it is a budget that adjusts according to the changes in the volume of the activity. The main purpose of preparing flexible budget is to determine the differences among standard and actual result.

Static budget: Static budget is a master budget that is prepared for only one level of sales volume. The budgeted amount of operating income and expense does not change once the static budget is developed. A static budget performance reports static budget variances.

The difference between the static budgets and flexible budgets is as follows:

A static budget is based on only one level of activity. A flexible budget allows for several different levels of activity.

Answer 13

Ch. 11 - Distinguish between static and flexible budgets.Ch. 11 - Explain the advantage of using a flexible budget.Ch. 11 - Why are flexible overhead budgets based on...Ch. 11 - Distinguish between a columnar and a formula...Ch. 11 - Show, using T-accounts, how production overhead is...Ch. 11 - How have advances in manufacturing technology...Ch. 11 - What is the interpretation of the...Ch. 11 - Jeffries Companys only variable-overhead cost is...Ch. 11 - What is the interpretation of the...Ch. 11 - Distinguish between the interpretations of the...

Distinguish between static and flexible budgets.

Concept explainers

Videos

Explanation of Solution

Want to see more full solutions like this?

Chapter 11 Solutions

Additional Business Textbook Solutions