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flexed budget

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › flexed budget

  • This topic has 3 replies, 2 voices, and was last updated 1 year ago by IAW3005.
Viewing 4 posts - 1 through 4 (of 4 total)
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    Posts
  • August 31, 2024 at 5:37 pm #710579
    IqmalKhushairi
    Participant
    • Topics: 24
    • Replies: 8
    • ☆

    which one of the following statements are true?

    1 The flexed budget is prepared at the same level of activity as actual output

    2 The difference between the flexed budget profit and the actual profit shows the effect on profit of operating at a level of activity that differs from the expected level

    1 only

    Tutorial note: The effect on profit of operating at a different level of activity to the one budgeted is the difference between the flexed budget profit and the originally budgeted profit (not the actual profit).

    why is 2 wrong? arent we suppose to compare the flexed budget with the actual budget?

    August 31, 2024 at 9:49 pm #710582
    IAW3005
    Moderator
    • Topics: 4
    • Replies: 1589
    • ☆☆☆☆☆

    Can you tell me where this question is from?

    September 1, 2024 at 3:50 am #710584
    IqmalKhushairi
    Participant
    • Topics: 24
    • Replies: 8
    • ☆

    acca study hub

    September 1, 2024 at 6:48 am #710587
    IAW3005
    Moderator
    • Topics: 4
    • Replies: 1589
    • ☆☆☆☆☆

    I do not like this question at all
    It’s very ambiguous
    I think it’s a mistake

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