The last option (D) is "increase in fixed costs"

This questio The Dear Dairy Cheese Company completed the flexible budget analysis for the second quarter, which is given below. Flexible Actual Budget Flexible Sales Volume Results Variance Budget Variance Static Budget Units 12,870 0 12,870 970 F 11,900 Sales Revenue $62,700 $2,223 U $64,923 $4,893 $60,030 Variable Costs 27,590 336 U 27,254 $2,054 25,200 Contribution Margin $35,110 $2,559 U $37,669 $2,839 $34,830 Fixed Costs 34,260 260 34,000 SO 34 000 Operating Income/(Loss) $850 $2,819 $3,669 $2,839 .F $830 Which of the following statements would be a correct factor to explain the flexible budget variance for fixed costs? O A. increase in variable cost per unit O B. increase in sales volume O C. decrease in sales price per unit