Chapter 16, Problem 6RQ

What is the basic difference between a mailer budget and a flexible budget?

1. a.      A flexible budget consider only variable coda; a mailer budget consider all costs.
2. b.      A mailer budget a based on a predated level of activity; a flexible budget is based on the actual level of activity.
3. c.       A mailer budget is for an entire production facility; a flexible budget is applicable only to individual departments.
4. d.      A flexible budget allows management latitude in meeting goals; a mailer budget a baaed on a fixed standard.