Which Is the Most Likely Cause of a Large Variance

question 21

Multiple Choice

Which is the most likely cause of a large variance between budget estimates and actual results if the company is well managed with efficient internal controls?

• A)Production is working inefficiently and using too much raw material
• B)The budget is unrealistic and cannot be met
• C)Inaccurate data has been recorded
• D)Raw materials are being stolen

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