A Variance That Occurs When Actual Expenses Are Less Than

question 139

Short Answer

A variance that occurs when actual expenses are less than budgeted expenses

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Definitions:

Principal-Agent Problem

A dilemma in a relationship where one party (the agent) is expected to act in the best interest of another (the principal), but may have motivations to act in their own interest instead.

Business Consultant

A professional who provides expert or professional advice in a particular area of expertise, such as business, to help organizations improve performance.

Monopsonist

A market condition where there is only one buyer for a product or service, giving them significant power over prices.

Labor Union

An organization representing workers' interests in negotiations with employers over wages, benefits, working conditions, and other employment terms.