1)A budget that does not change when there are large changes in sales, is called a: A) Static Budget B) Fixed Budget C) Flexible Budget 2)Payback: A company spent $200,000 on a machine. The cash flows are as follows: Year 1 $50,000 Year 2 $70,000 Year 3 $30,000 Year 4 $100,000 How many years did it take to pay for the cost of the machine? A) 4 years B) 3 years C) 3.5 years D) None of the above. 3) If actual administrative costs are $15 million, with a budgeted amount of $16 million, the variance would be: A) favorable by $1 million B) unfavorable by $1 million C) Neither A nor B