A Credit Balance Means That a Variance Is Favorable Since

question 126

True/False

A credit balance means that a variance is favorable since it increases income (just like a revenue).

---

Definitions:

Subjective Standard

A criterion for judgment that varies based on individual perceptions, feelings, or opinions, rather than objective external factors.

Objective Impossibility

A situation where the fulfillment of a contract is literally impossible due to circumstances beyond the control of the involved parties.

Subjective Impossibility

A situation where a party to a contract feels personally unable to perform their obligations, but the performance may still be possible by someone else.

Commercial Impracticability

A legal doctrine allowing parties to suspend or terminate their contractual obligations when unexpected events fundamentally alter the nature of the contract and performance becomes unfeasibly burdensome.