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The post-project review of the Alpha Supplement project is complete.It found failures in planning.Too much time was budgeted for market research,leaving not enough time for product development and quality assurance.As a result,the project could not have succeeded even if it had been run perfectly.But there were other problems as well.Constant conflicts between team members demonstrated a failure of leadership.Finally,there were failures in the control function.When component providers failed to deliver,project leaders did not locate and train new providers in time. Which of the following,if true,would most strongly suggest that the problems attributed to the control function were actually caused by planning failures?
Labor Rate Variance
The difference between the actual cost of labor and the expected (or budgeted) cost, based on predetermined rates and actual hours worked.
Variable Overhead Rate Variance
The gap between what was actually spent on variable overhead and what was predicted to be spent, considering the actual activity level.
Rate Variances
Differences between the standard or expected rates of costs and the actual rates incurred, often analyzed in cost accounting.
Variable Overhead
Refers to the costs that fluctuate with changes in production volume, such as utilities or materials that are consumed directly as a result of manufacturing activities.
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