Which of the following is not part of the flow of events in variance analysis:
A)Preparing a standard cost performance report.
B)Identifying questions and their explanations.
C)Taking corrective and strategic actions.
D)Computing and analyzing variances.
E)Working to ensure that all variances are favorable.

Question

Quizplus · Accepted Answer

Working to ensure that all variances are favorable is not part of the flow of events in variance analysis as it is not always possible to have all favorable variances. The main objective of variance analysis is to identify areas where actual performance deviates from planned or expected performance and to take corrective and strategic actions accordingly.

Which of the Following Is Not Part of the Flow