Question

Oscar budgeted to put 10 gallons of gas in his tank per week at a price of $3 per gallon and he has consistently put in 10 gallons every week for the past 12 weeks, but the price per gallon has been between $3.10 per gallon and $3.85 per gallon each of those weeks, so he is most likely to experience the variance known as a quantity variance.

Answer 1

Amount variance is a sort of variance that arises due to differences between the actual and predicted portions of inputs utilized in production. inside the case of Oscar, the variance he's possibly to enjoy is a charge variance, which arises due to differences between the real and expected charges of inputs utilized in production. therefore, the announcement is false.