Question 11.RQ.2.10: F Limited uses a fl exible budgeting system to control the c...

CIMA Official Learning System Fundamentals of Management Accounting

F Limited uses a flexible budgeting system to control the costs incurred in its staff canteen.
The budget cost allowance for consumable materials is flexed according to the average number of employees during the period.
Complete the following equation by inserting ‘ + ’ , ‘ – ’ or ‘ × ’ as appropriate in the boxes:
Flexible budget = budgeted fixed $\square$ (budgeted variable $\square$ average no.)
cost allowance cost (cost per employee of employees)
for consumable
materials

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