What do variances indicate?
A)that actual performance is not going according to plan
B)the cause of the variance
C)who is responsible for the variance
D)when the variance should be investigated

Question

Quizplus · Accepted Answer

Variances indicate that actual performance is not going according to the plan. A variance is the difference between the actual result and the expected result. These differences can occur due to various reasons such as inaccurate forecasting, unexpected events, inappropriate resource allocation, inefficiencies in the system, or external factors. Identifying variances helps in understanding the deviation from the plan, and taking corrective actions to bring the performance back on track.

What Do Variances Indicate