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Management · Q161

Management Accounting

Graduate and Post Graduate · Management · question 161

Q161

Point at which control functions and planning of management come together is known as

A.
functioning
B.
variance
Answer
C.
variation
D.
deviation

Answer: Option B

Solution

Answer: Option B
Solution:
Point at which control functions and planning of management come together is known as variance. A variance in management accounting may be favourable (costs lower than expected or revenues higher than expected) or adverse (costs higher than expected or revenues lower than expected).