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The reason we use the words favorable and unfavorable when evaluating variances is made clear when we look at the closing of accounts. To see this, consider that:
All variance accounts are closed at the end of each period (temporary accounts)
Afavorable cost variance is always a credit balance
An unfavorable cost variance is always a debit balance
Write a one page memorandum to your instructor with three parts that answers the three following requirements. (Assume that variance accounts are closed to Cost of Goods Sold.)
Does Cost of Goods Sold increase or decrease when closing a favorable variance? Does gross margin increase or decrease when a favorable variance is closed to Cost of Goods Sold? Explain.
Does Cost of Goods Sold increase or decrease when closing an unfavorable variance?Does gross margin increase or decrease when an unfavorable variance is closed to Cost of Goods Sold? Explain.
Explain the meaning of a favorable variance and an unfavorable variance.
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How could Jack be supported to identify and acknowledge his own strengths and self-care capacity?
How could this segmentation be best utilised for direct marketing activity - is it a success, should it be used at all and how you would design the next campaign - would you do anything different?
hi i need the assignment before midnight today on 14th september as per australian time. ltbrgtthis formal report
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