Answer the following questions using the information below:
These questions refer to flexible-budget variance formulas with the following descriptions for the variables: A = Actual; B = Budgeted; P = Price; Q = Quantity.
Which variance is calculated by using the formula: (AP - BP) AQ is the ________.
◦ efficiency variance
◦ price variance
◦ total flexible-budget variance
◦ material spending variance