Double-Entry Bookkeeping Requires That the Debit and Credit Entries for Any

question 70

True/False

Double-entry bookkeeping requires that the debit and credit entries for any transaction must balance.

---

Definitions:

Cost Variance

The difference between the expected (budgeted) cost and the actual cost incurred.

Actual Costs

The real, observed expenditures incurred as opposed to estimated or standard costs.

Standard Costs

Predetermined or estimated costs of manufacturing, selling, and administrative activities, used for budgeting and assessing performance.

Rate Variance

The difference between an expected or standard cost and the actual cost incurred, often used in budgeting and financial analysis to gauge performance.