Since fixed overhead does not vary with volume within the relevant range,the flexible budget will always agree with
A)Actual results.
B)Static budget.
C)Both actual results and the static budget.
D)Neither actual results nor the static budget.

Question

Quizplus · Accepted Answer

Fixed overhead does not vary with volume within the relevant range, so the flexible budget will always include the same amount of fixed overhead as the static budget. Therefore, the flexible budget will always agree with the static budget, rather than actual results which may differ due to changes in volume or other factors.

Since Fixed Overhead Does Not Vary with Volume Within the Relevant