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How Do Managers Decide Which Variances Are Important Enough to Investigate

Question 27

Multiple Choice

How do managers decide which variances are important enough to investigate?
I. By considering whether they are favourable or unfavourable
II. By calculating and investigating all possible variances
III. By considering whether it is large enough to justify investigation


A) I only
B) II only
C) III only
D) I and III only

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