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Flexible and flexed budget are two different things? Or they both have same meanings
A flexed budget is when we rewrite the original budget for the actual level of activity.
A flexible budget is a budget prepared in a way that can be easily flexed (i.e. the variable costs are separated out from the fixed costs).
No – of course not.
You can be asked to prepare a flexed budget, certainly. But you are also expected to be able to calculate specific variances directly without messing around with a flexed budget first.
You need to watch my free lectures on variances where I explain this.
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