Ask Question
26 July, 17:56

All of the following are true regarding variance investigation except: a. every variance is investigated. b. managers must consider whether a variance will recur. c. it is difficult to assess the costs and benefits of variance analysis on a case-by-case basis. d. variances are not investigated unless they are large enough to be of concern. e. the investigation should be undertaken only if the anticipated benefits are greater than the expected costs.

+1
Answers (1)
  1. 26 July, 18:01
    0
    The option that is not true about variance investigation is A) every variance is investigated.

    Explanation:

    Every business projection and forecast is made based on speculation. These estimates in theory vary with what is obtainable in practice. Therefore, variance is inevitable.

    It is not every variance that is investigated. Variances are not investigated unless they are large enough to be of concern and the investigation should be undertaken only if the anticipated benefits are greater than the expected costs.

    Variance investigation models are concerned with decisions to investigate the cause of particular variances and in particular, to distinguish significant deviations from random fluctuations.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “All of the following are true regarding variance investigation except: a. every variance is investigated. b. managers must consider whether ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers