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Actual data show a 45 reduction in errors at a cost of

Variance analysis results are used in conjunction with performance budget information. The budget projects a 5.0% reduction in errors with an expenditure of $22,000. Actual data show a 4.5% reduction in errors at a cost of $19,000. What is the volume variance, and is it favorable or unfavorable?

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Finance Basics: Actual data show a 45 reduction in errors at a cost of

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