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A business has a favourable flexible budget variance for direct labour. After finding out the...

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Accounting

A business has a favourable flexible budget variance for direct labour. After finding out the cause of the variance, the manager needs to make a decision about next year's direct labour budget.

Which decision would be related to a favourable flexible budget variance for direct labour?

Group of answer choices

Was the favourable variance last year due to a higher sales price?

Was the favourable variance last year due to budget slack?

Was the favourable variance last year due to an increase in sales?

Was the favourable variance last year due to an increase in sick leave due to Covid-19?

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