The total operating income variance for a period reveals whether a company has achieved:
A) The sales level budgeted for the period.
B) An adequate return on investment (assets) during the period.
C) Control of basic business processes.
D) Control of total expenses for the period.
E) The master budgeted operating income for the period.

Question

Quizplus · Accepted Answer

The total operating income variance compares the actual operating income to the master budgeted operating income, indicating whether the company has achieved its budgeted operating income for the period.

The Total Operating Income Variance for a Period Reveals Whether