What do price variances measure?

Question

Quizplus · Accepted Answer

Price variances measure the difference between actual and standard price, which can indicate inefficiencies or inconsistencies in a company's pricing practices.

(Note: A is incorrect because it only compares the company's price to its competitors, not actual vs standard price. B is incorrect because it describes price trends rather than specific variances. D is incorrect because it only pertains to discounts and not price variances.)

What Do Price Variances Measure