Irrelevant costs are those costs that (a) represent fixed costs only. (b) vary amongst alternatives. represent opportunity costs only. (d) none of the other options. Where there is an insignificant adverse variance, management is best advised to: (a) Ignore it, as the cost of investigation may outweigh the benefit. (b) Ignore the variance as it may be compensated by an insignificant favourable variance. (c) Keep the variance under review. (d) Investigate immediately and in full detail. the following information to answer the next two questions. The Pottery shop produces and sells pots. The budget and actual results for the month of November are summarised as follows: Sales volume Sales Variable costs Fixed costs Total costs Net operating profit Original Budget 500 pots $60,000 $10,000 $25,000 $35,000 $25,000 Actual Results 750 pots $75,000 $15,000 $30,000 $45,000 $30,000 The overall budget variance is a) $5,000 favourable. b) $5,000 adverse. c) $10,000 adverse. d) $20,000 favourable. The sales volume variance is a) $15,000 favourable. b) $20,000 adverse. $25,000 favourable. d) $5,000 adverse