Which of the following causes the master budget variance between the amounts in the master budget and the flexible budget of a revenue center? A. The number of units sold differs from planned sales levels
B. The cost of sales
C. The selling price per unit
D. Both the selling price and the number of units sold

A. The number of units sold differs from planned sales levels.

Explanation:

The difference in the master budget and flexible budget lies in the level of operation (sales units). That is the planned sales levels included in muster budget are usually different from the actual sales levels included in the flexible budget.

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