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Question(s) / Instruction(s):

XYZ Company budgeted $4 million for customer service costs, but actually spent only $3 million. Which of the following statements indicates the best course of action for management to take? 

A             Because this $1 million variance is favorable, management does not need to investigate further

B             Management will investigate this $1 million favorable variance, to ensure that the cost savings do not reflect skimping on customer service

C             Management will investigate this $1 million unfavorable variance to try to identify and correct the problem

D             Management should investigate every variance, especially unfavorable one

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