Product cost variance analysis will help management understand some of the reasons that:
A) Actual product cost differs from the estimate established during the attainment phase.
B) Target cost hasn't yet been achieved.
C) The product's target price is too low.
D) Established engineering standards are too tight.

Question

Quizplus · Accepted Answer

Product cost variance analysis helps management understand why actual product costs differ from estimates, allowing them to identify areas where costs exceeded or fell short of expectations.

Product Cost Variance Analysis Will Help Management Understand Some of the Reasons