Option 1
Discuss the usage and creation of standard costs by your operation. How are these costs developed? How can they be used in the creation of a forecast? How can these be used in an individual or organizational measurement system?
– OR –
Option 2
Discuss a current business activity that you or your department does that could be improved by leveraging Variance Analysis. Discuss the perspective you could gain, and what a "favorable price" and a "favorable quantity" variance mean in this application.