Questions

Cost variance is nothing but the difference between the actual incurred cost and the estimated standard cost. This can be occured due to any changes in the volume of goods or services ordered. 

A favorable cost variance occurs when the actual incurred cost is less than the standard cost estimated before the production.

Applicant should answer that as a supervisor he/she would analyze actual spend vs. forecast and plan future sales and retail storage. Provide sales adjustments/discounts reporting and analysis, which could be helpful in further analysis of the business. As a supervisor I would ensure, that I keep a track of all the finances and expenses incurred during the process of transportation, salaries and wages of drivers and other helpers in loading and unloading the goods and services. Maintain a ledger for the cost involved in storage and maintenance of goods and services.