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Home Q & A Board Other Fields Homework Help Business Accounting
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bernie2981 bernie2981
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8 years ago
Troy Company budgeted $12 million for customer service costs, but actually spent only $10 million. Which of the following statements is the best course of action for management to take in this instance?
A) Management should not investigate every major variance, especially an unfavorable variance.
B) Management will investigate this $2 million favorable variance to ensure that the cost savings do not reflect skimping on customer service.
C) Because this $2 million variance is favorable, management does not need to investigate further.
D) Management will investigate this $2 million unfavorable variance to try to identify and correct the problem.
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Managerial Accounting

Managerial Accounting


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nucleinuclei
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