If Actual Operating Expenses Exceeds Planned Operating Expenses, Then

If actual operating expenses exceeds planned operating expenses, then:

A) The difference is said to be a favorable variance.
B) The difference is said to be an unfavorable variance.
C) The difference must be decomposed into price and quantity components before it can be judged to be favorable or unfavorable.
D) Gap analysis would be preferred to variance analysis in assessing performance.

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