{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Week 5 Discussion Budgets 1 - ignoring the change For...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
It is important for managers to look further into variances even if they are favorable because favorable variances are not always good. Often times, companies categorize favorable variances as positive and unfavorable variances as negative, however the bottom line is that a variance is still a discrepancy and should be considered and analyzed to avoid adverse consequences of
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ignoring the change. For example, a favorable variance concerning advertising expenses can lead to an insufficient amount being spent on promoting a company’s product or service. This could ultimately lead to losing customers to lack of marketing. Sources: http://acct202.tripod.com/Chapter%2010%20Outline.htm...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online