An accountant compares the actual costs of jobs with the cost estimates that were developed at the time each job was accepted. She discovers that actual costs are almost always higher than estimated costs. What does this finding suggest about the quality of information used to estimate job costs?

Question

Quizplus · Accepted Answer

The Answer of An accountant compares the actual costs of jobs with the cost estimates that were developed at the time each job was accepted. She discovers that actual costs are almost always higher than estimated costs. What does this finding suggest about the quality of information used to estimate job costs?

An Accountant Compares the Actual Costs of Jobs with the Cost