Organizational Management and Leadership 6.47 Budget variance Competency VI.5 Your organization is i

Question:


Organizational Management and Leadership 6.47 Budget variance Competency VI.5 Your organization is in the process of microfilming all the old records in storage. The budget for this process is $500,000 over three years. You have contracted with a company to perform the microfilm services at $0.09 per page and have estimated that there are about 5.5 million pages to be converted. At the end of the first year, you review the invoice and see that you have been billed for converting 2,083,333 pages. 1. Determine your budget variance and what type it is. 2. Provide a short explanation that can be given to administration regarding the variance.




Answer:


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