When a company is using standard costs, an unfavorable variance is NOT necessarily an indication that a manager is doing a poor job.

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An unfavorable variance might occur due to factors outside of a manager's control, such as unexpected changes in input prices or a shift in demand. However, if unfavorable variances occur consistently, it may suggest that the manager is not effectively managing the costs or may need additional training or resources.

When a Company Is Using Standard Costs, an Unfavorable Variance