The production volume variance is favorable whenever actual output is greater than expected output.

Name: The production volume variance is favorable whenever actual output is greater than expected output.
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Question

Quizplus · Accepted Answer

The production volume variance measures the difference between expected and actual output. If actual output is greater than expected, it is considered favorable as it indicates higher productivity and efficiency. Therefore, the statement is true.

The Production Volume Variance Is Favorable Whenever Actual Output Is