Question: A static budget report may be appropriate in evaluating a manager's effectiveness in controlling costs when t he behavior of t he costs in response

A static budget report may be appropriate in evaluating a manager's effectiveness in controlling costs when t he behavior of t he costs in response to changes in activity is fixed. shows costs at only 2 or 3 different levels of activity . is appropriate in evaluating a manager's effectiveness in controlling variable costs. should be used when t he actual level of activity is materially different from the master budget activity level
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