Labor Rate Variance – Meaning, Formula, Example, and More
Labor Rate Variance or LRV is the variation between the actual and expected or standard cost of labor. This variance is due to the… Read Article
Flexible Budget Variance
Labor Cost Variance – Meaning, Formula, and Example
Labor Cost Variance is the difference between the standard cost of labor for the actual output and the actual cost of labor for the… Read Article
Material Yield Variance – Meaning, Formula, Example, and More
Material Yield Variance is the variance or the difference between the standard quantity of material consumption estimated and the actual amount of material consumed… Read Article
Material Mix Variance – Meaning, Example, and More
Material Mix Variance is a concept that is used in the manufacturing world. Manufacturing companies make a huge amount of R&D spending in determining… Read Article
Direct Materials Quantity / Usage / Volume Variance
As the word implies, Direct Materials Quantity Variance refers to the deviation resulting from the difference in the expected and actual quantity of direct… Read Article
Flexible Budget Variance
What is a Flexible Budget Variance?A flexible budget is a financial plan with scope for change in the value of its key parameters. It… Read Article
Cost Variance – Meaning, Importance, Calculation and More
Cost Variance (CV) is a term that relates to the budget. As you will be aware, Variance is the difference between the cost and… Read Article
Fixed Overhead Volume Variance
What is Fixed Overhead Volume Variance (FOVV)?Fixed overhead volume variance is stated as a figure which is equal to the standard fixed overhead less… Read Article
Price Variance – Meaning, Calculation, Importance and More
Price Variance is the difference between the actual price and the standard price of a product or service. It can be for both cost… Read Article
Pre-determined Overhead Rate – Meaning, Calculation And More
A Pre-determined Overhead Rate is a projected ratio of overhead costs, which is determined at the start of the year. A company determines this… Read Article
Variance Analysis Report
What is a Variance Analysis Report?Variance Analysis Report is useful to identify the gap between the planned outcome (The Budgeted) and the actual outcome… Read Article