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In budgetary control, what is the purpose of a "variance analysis"?
  • a)
    To identify deviations from budgeted figures
  • b)
    To determine the actual budget allocation
  • c)
    To calculate the return on investment
  • d)
    To assess employee performance
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
In budgetary control, what is the purpose of a "variance analysis...
Variance analysis in budgetary control is a crucial process used to compare actual financial performance against the budgeted or expected performance. It helps organizations identify discrepancies (variances) between the planned and actual results.
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In budgetary control, what is the purpose of a "variance analysis"?a)To identify deviations from budgeted figuresb)To determine the actual budget allocationc)To calculate the return on investmentd)To assess employee performanceCorrect answer is option 'A'. Can you explain this answer?
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