What Does a Cost Variance Measure

question 81

Multiple Choice

What does a cost variance measure?

• A) the difference between the cost the company pays and the cost its competitors pay
• B) the change in costs over time
• C) how well the business keeps unit costs of material and labor inputs within standards
• D) the volume discounts companies receive when ordering direct materials in large quantities

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Definitions:

Larceny

The unlawful taking and carrying away of someone else's personal property with the intent to deprive the rightful owner of it permanently.

Embezzlement

The act of dishonestly withholding or stealing funds that have been entrusted to one's care.

Bank Fraud

The use of potentially illegal means to obtain money, assets, or other property owned or held by a financial institution, or to obtain money from depositors by fraudulently posing as a bank or other financial institution.

Foreign Corrupt Practices Act

A United States federal law aimed at preventing the bribery of foreign government officials to assist in obtaining or retaining business.