Question

which of the following is not part of the flow of events in variance analysis: multiple choice preparing a standard cost performance report. identifying questions and their answers. taking corrective and strategic actions. computing and analyzing variances. working to ensure that all variances are favorable.

Explanation:

Variance analysis involves computing and analyzing variances (difference between actual and standard), preparing a standard cost performance report (to show variances), identifying questions (like why variance occurred) and taking corrective actions. However, it's not feasible or the goal to ensure all variances are favorable as some variances can be due to legitimate business reasons (e.g., investing in better quality materials causing a cost variance but improving product quality).

Answer:

Working to ensure that all variances are favorable.