When Would a Variance Be Labeled as Favorable

question 107

Multiple Choice

When would a variance be labeled as favorable?

• A) When actual costs are less than standard costs
• B) When standard costs are equal to actual costs
• C) When standard costs are less than actual costs
• D) When estimated costs are greater than actual costs

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Definitions:

Formula

A mathematical relationship or rule expressed in symbols, or a prescribed and detailed method of doing something.

Malnutrition

A condition that occurs from consistently eating a diet in which nutrients are either not enough or are too much, causing health problems.

Stunting

The failure of children to grow to a normal height for their age due to severe and chronic malnutrition.

Neurons

Specialized cells of the nervous system that transmit information to other neurons, muscles, or gland cells.