Standards that do allow for normal down time and can be achieved with reasonable amounts of effort are known as:
A) Ideal standards.
B) Lax standards.
C) Practical standards.
D) Exceptional standards.

Question

Quizplus · Accepted Answer

Sales volume variance = Static budget (based on planned volume)- Flexible budget (based on actual volume)
Sales volume variance = (100,000 units x $4.00 per unit)- (96,000 units x $4.00 per unit)Sales volume variance = $400,000 - $384,000 = $16,000 unfavorable
Since the actual volume was less than the planned volume,the variance is unfavorable.

Standards That Do Allow for Normal Down Time and Can