When Considering the Significance of Cost Variances, Managers Should Not

question 34

Multiple Choice

When considering the significance of cost variances, managers should not consider

• A) relative size of the variances.
• B) recurring variances.
• C) the trends of the variances.
• D) favourable or unfavourable status of the variances.

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Definitions:

Abstinence

The deliberate avoidance of engaging in certain behaviors or consuming substances, particularly alcohol or drugs.

Recovery

The process of overcoming a disorder, addiction, or illness, focusing on both physical and mental health improvements.

Distal Risks

Factors that are not directly associated with an immediate outcome but can contribute to the likelihood of a problem or disorder developing over time.

Dynamic Model

A theoretical or computational representation of something that accounts for change or movement, often used in understanding systems or behaviors over time.