Variance estimates for costs and benefits are important because:

Question

Quizplus · Accepted Answer

Variance estimates provide a range of values for expectations, allowing decision makers to understand the potential range of costs and benefits associated with a decision. This information is important in making informed decisions and managing risk. While statistical analyses may be used to interpret variance estimates, they are not the sole purpose of variance estimates. Transaction values are not directly related to variance estimates.

Variance Estimates for Costs and Benefits Are Important Because