Which of the Following Are Factors That Managers May Use

Multiple Choice

Which of the following are factors that managers may use in deciding whether to investigate a variance?

A) Materiality and the effect of netting large and small variances
B) The effect of netting large and small variances and whether favorable or unfavorable
C) Whether the variance will increase or decrease operating income and materiality
D) Materiality and whether the variance will increase or decrease total costs