Budget

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).

to calculate variances we prepare flexible budget?

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.

Okay thank you sir

You are welcome :-)