Consider the following statements about variance investigation: I. Variance investigation involves a look at only unfavorable variances. II. Variance investigation is typically based on a cost-benefit analysis. III. Variance investigation is often performed by establishing guidelines similar to the following: Investigate variances that are greater than $X or greater than Y% of standard cost. Which of the above statements is (are) true?

A. I only.

B. II only.

C. III only.

D. II and III.

E. I, II, and III.