Which of the Following Statements Regarding Variances Is True

Which of the following statements regarding variances is true?

A) All the statements are true
B) Variance calculations need to be made when budgeted costs are used to allocate indirect costs.
C) Variances arise when an entity over estimates the expenditure level of indirect costs assigned to the cost pool or the expected usage of the cost driver.
D) Variances arise when an entity underestimates the expenditure level of indirect costs assigned to the cost pool or the expected usage of the cost driver.