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When Is a Variance Considered to Be 'Material

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When is a variance considered to be 'material'?


Definitions:

Profit

The financial gain obtained when the amount earned from a business activity exceeds the expenses, costs, and taxes needed to sustain it.

Network Organization Design

An approach to structuring an organization where coordination and communication rely on informal relationships rather than a formal hierarchy.

Monitor

To regularly observe and check the progress or quality of something over a period of time, ensuring it meets desired standards or objectives.

Quality

The standard of something as measured against other similar things; a degree of excellence.

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