Variance Flashcards
1
Q
Material price variance
A
AQP(SP - AP)
2
Q
Material quantity variance
A
SP(SQ - AQ)
3
Q
Labor rate variance
A
AQ(AP - SP)
4
Q
Labor efficiency variance
A
SP(AQ - SQ)
5
Q
Variable OH spending variance
A
(Actual hours * standard rate) - actual costs
6
Q
Variable OH efficiency variance
A
SP(SQ - AQ)
7
Q
Fixed OH spending variance
A
Flexible/Static budget - Actual costs incurred
8
Q
Flexible OH volume variance
A
(Standard hours allowed for actual output * standard rate) - flexible/static budget
9
Q
Three way OH variance analysis
A
(Variable + fixed spending), efficiency, volume
10
Q
Two way OH variance analysis
A
Variable and fixed: Spending + efficiency variances, volume variance
11
Q
Total VOH variance
A
Actual VOH incurred - VOH Applied
12
Q
Total FOH Variance
A
FOH incurred - FOH applied
