A Variance Represents the Difference Between a Budgeted and an Actual

question 65

Multiple Choice

A variance represents the difference between a budgeted and an actual cost.Thus,the variance measures

• A)only controllable cost differences.
• B)only uncontrollable cost differences.
• C)both uncontrollable and controllable cost differences.
• D)the effectiveness of management.

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Definitions:

Circumstances

Conditions or facts affecting a situation, event, or action, which may influence its outcome or the decisions made regarding it.

Assignment

A transfer of rights, property, or responsibilities from one party to another.

Defenses

Arguments and strategies used in legal proceedings by the defendant to challenge, mitigate, or nullify the claims made by the plaintiff.

Equity Credit

The provision of credit or financing based on the borrower's ownership stakes in assets rather than on their creditworthiness alone.