In recording variances, is an unfavorable variance recorded as a debit or a credit? Why?

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Managerial Accounting

ISBN: 9781119577669

4th Edition

Authors: Charles E. Davis, Elizabeth Davis

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Question Posted: May 17, 2021 09:11 AM

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Why are unfavorable variances recorded by using debit entries and favorable variances recorded by using credit entries?
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In recording variances, is an unfavorable variance recorded as a debit or a credit? Why?

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Managerial Accounting

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