1. Explain the difference between a static budget and a flexible budget.
2. Explain what is meant by a static budget variance and a flexible budget variance
3. "Activity based costing system may result in misallocation of indirect costs". Justify with reasons whether you agree with the statement
4. Provide the considerations that need to be examined when determining a sales mix strategy.
5. While implementing an activity based costing system for the first time, achieving a significant change overnight is difficult and this may de-motivate employees. Suggest ways managers overcome this problem.