Managers Should Look at Any Variance That Is Significant

question 165

True/False

Managers should look at any variance that is significant.

---

Definitions:

Positive Profits

A financial gain that occurs when the revenues generated from business activities exceed the costs and expenses involved in operating the business.

Shut Down

A short-term decision by a firm to cease production due to unfavorable market conditions.

Firm

An entity like a corporation, partnership, or sole proprietorship engaged in selling goods or services for financial gain.

Price

The sum of money needed to buy a product, service, or asset.