In deciding whether to further investigate a variance, an organization needs to weigh the costs of investigation against the:
A) Ongoing time constraints.
B) Size of the variance.
C) Nature of the variance.
D) Difficulty of the investigation.
E) Anticipated benefits from the investigation.

Question

Quizplus · Accepted Answer

The organization needs to consider the benefits that can be gained from investigating the variance before deciding whether to investigate it further. If the anticipated benefits outweigh the costs of investigation, it is worthwhile to investigate further.

In Deciding Whether to Further Investigate a Variance, an Organization