Cost Variances: Causes and Reasons | Cost Accounting
In this article we will discuss about:- 1. Causes of Cost Variance 2. Reasons for Cost Variances 3. Interdependence between Variances. Causes of Cost Variance: The causes of variances can be categorized as follows: (a) Implementation deviation results from a human or mechanical failure to achieve an attainable income. (b) Prediction deviation results from errors in specifying the parameter values [...]