ATI Leadership Proctored Related

Review ATI Leadership Proctored related questions and content

What is the difference between the amounts that were budgeted for specific revenue or cost and the actual revenue or cost that resulted during the course of activities?

  • A. Budget
  • B. Variable
  • C. Variance
  • D. Premiums
Correct Answer: C

Rationale: The correct answer is C: Variance. Variance represents the difference between budgeted and actual revenue or cost. It is a crucial metric in performance evaluation and budget control. Variance analysis helps identify discrepancies and allows for adjustments to be made.
Incorrect choices:
A: Budget - This is the overall plan or financial blueprint for revenues and costs, not the difference between budgeted and actual amounts.
B: Variable - Refers to costs that change in relation to activity levels, not specifically the difference between budgeted and actual amounts.
D: Premiums - Relates to additional payments made, not the comparison between budgeted and actual figures.