Cost reconciliation helps to identify and rectify discrepancies between: Question 6Answer a. Budgeted costs and actual costs b. Variable costs and fixed costs c. Historical costs and estimated costs d. All of the above
The correct answer is:
a. Budgeted costs and actual costs
Cost reconciliation primarily focuses on identifying and rectifying discrepancies between what was budgeted and what was actually incurred. While the other options may involve cost analysis, they are not the primary focus of cost reconciliation.