Why the laundry supervisor might be right

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Reference no: EM133253947

Problem:

The laundry manager received his first quarterly budget performance report for the first quarter of the year - Jan-Mar. It showed that the laundry department was over budget. The laundry supervisor requested to see the variance analysis calculations. Using these calculations, he was able to argue that the budget overage was not something he had control of.

  1. Using the mechanics of variance analysis, explain why the laundry supervisor might be right.
  2. Provide two possible contributors to the overall budget overage that would have been outside of his control.

Reference no: EM133253947

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