What Exists When Budgeted Costs Exceed Actual Results

question 12

Multiple Choice

What exists when budgeted costs exceed actual results?

• A)A budgeting error
• B)A favourable difference
• C)An unfavourable difference
• D)An excess profit

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Definitions:

Operations Management Decisions

Decisions related to the processes that create and deliver a company's products or services, including decisions on production, inventory, quality, and logistics.

Resource Acquisition

The process of identifying, obtaining, and allocating the necessary resources, such as human, financial, or material, to achieve organizational goals.

Inventories

Quantities of goods or materials that a business holds for the purpose of sale or production.

Facilities

Physical resources such as buildings or equipment provided for a particular purpose.