Variance reports __________.
A) should be made annually
B) are an automatic red flag that the budget was prepared incorrectly
C) should be made known to everyone who directly or indirectly influences the costs
D) all of these

Question

Quizplus · Accepted Answer

Variance reports should be made known to everyone who directly or indirectly influences the costs. While variance reports can be made annually or on a more frequent basis, it is not necessary for them to be made annually. Additionally, variance reports are not necessarily an automatic red flag that the budget was prepared incorrectly, as variances can occur due to unforeseen circumstances or changes in the market. The most important aspect of variance reports is that they are communicated to those who have an impact on the costs being analyzed.

Variance Reports __________