Skip to content
free
K
1
2
practice
Home
Math
English
Science
Social Studies
Contact
Language
English
Español
Sign In
/
High School Electives
/
Entrepreneurship
/
Operating Budget and Variance Analysis
Grade Level
Entrepreneurship
ENT.097 Operating Budget and Variance Analysis
0%
Skill Level
🔴 Hard
00:00
Progress to Next Level
25% to Medium
Easy
Medium
Hard
Mastery
100%
A school apparel simulation budgeted a 2% return rate, but actual returns were 7% after product descriptions were unclear. Which corrective action best fits?
A
set aside returns because only gross sales belong in a budget.
B
Classify returns as direct materials so revenue looks on budget.
C
Raise fixed rent to offset the return rate.
D
Improve descriptions, review product quality, and revise the returns assumption if the higher rate continues.
Submit Answer