Scribd Logo
Upload

Welcome to Scribd!

  • 115 views

    Variance Analysis: Basic Variances Formula

    Uploaded by

    Mifzal Izzani
    This document outlines various types of variances that can be analyzed for planning and operating purposes. It lists the basic variances for sales, margins, volumes, mixes, material prices, usages, yields, labor rates, efficiencies, idle time, overhead volumes and expenditures. Formulas are provided for calculating each variance by comparing actual results to standards. Planning variances analyze differences between original and revised standards, while operating variances compare actuals to revised standards.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Variance Analysis: Basic Variances Formula

    Uploaded by

    Mifzal Izzani
    115 views1 page
    This document outlines various types of variances that can be analyzed for planning and operating purposes. It lists the basic variances for sales, margins, volumes, mixes, material prices, usages, yields, labor rates, efficiencies, idle time, overhead volumes and expenditures. Formulas are provided for calculating each variance by comparing actual results to standards. Planning variances analyze differences between original and revised standards, while operating variances compare actuals to revised standards.

    Original Title

    Formula variance

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document outlines various types of variances that can be analyzed for planning and operating purposes. It lists the basic variances for sales, margins, volumes, mixes, material prices, usages, yields, labor rates, efficiencies, idle time, overhead volumes and expenditures. Formulas are provided for calculating each variance by comparing actual results to standards. Planning variances analyze differences between original and revised standards, while operating variances compare actuals to revised standards.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    115 views1 page

    Variance Analysis: Basic Variances Formula

    Uploaded by

    Mifzal Izzani
    This document outlines various types of variances that can be analyzed for planning and operating purposes. It lists the basic variances for sales, margins, volumes, mixes, material prices, usages, yields, labor rates, efficiencies, idle time, overhead volumes and expenditures. Formulas are provided for calculating each variance by comparing actual results to standards. Planning variances analyze differences between original and revised standards, while operating variances compare actuals to revised standards.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 1

    VARIANCE ANALYSIS

    Basic Variances Formula


    Sales price (actual sales price ~ standard sales price) actual volume
    Sales margin (actual margin ~ standard margin) actual volume
    Sales volume (actual volume ~ budgeted volume) standard margin
    Sales mix margin (actual sales volume ~ standard mix of actual total sales
    volume) standard margin
    Direct material price (actual price ~ standard price) actual quantity
    Direct material usage (actual quantity ~ standard quantity of actual production)
    standard price
    Direct material mix (actual mix of actual total material input ~ standard mix of
    actual total material input) standard price
    Direct material yield (actual yield ~ standard yield of actual total material input)
    standard material cost
    Direct labour rate (actual rate ~ standard rate) actual hours
    Direct labour efficiency (actual hours ~ standard hours of actual production)
    standard rate
    Direct labour mix (actual mix of actual total hours ~ standard mix of actual
    total hours) standard rate
    Direct labour yield (actual yield ~ standard yield of actual total labour hours)
    standard labour cost
    Direct labour idle time (idle hours x standard rate)
    Fixed overhead volume ( actual volume ~ budgeted volume) fixed overhead
    absorption rate
    Fixed overhead (budgeted fixed overhead cost ~ actual fixed overhead cost)
    expenditure
    Variable overhead (actual hours ~ standard hours) variable overhead
    efficiency absorption rate
    Variable overhead actual variable overhead cost ~ (actual hours x variable
    expenditure overhead absorption rate)

    Planning Variances Formula


    Material price (original standard price ~ revised standard price) revised
    standard quantity
    Material usage (original standard quantity ~ revised standard quantity)
    original standard price
    Labour rate (original standard rate ~ revised standard rate) revised
    standard hour
    Labour efficiency (original standard hour ~ revised standard hour) original
    standard rate

    Operating Variances Formula


    Material price (actual price ~ revised standard price) actual quantity
    Material usage (actual quantity ~ revised standard quantity) revised
    standard price
    Labour rate (actual rate ~ revised standard rate) actual hour
    Labour efficiency (actual hour ~ revised standard hour) revised standard rate

    You might also like

    pFad - Phonifier reborn

    Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

    Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


    Alternative Proxies:

    Alternative Proxy

    pFad Proxy

    pFad v3 Proxy

    pFad v4 Proxy