How can I make a difference between a favorable and unfavorable variance?

Related BrainMass Solutions

• Should Variances Be Investigated Regardless of if they are Favorable or Unfavorable?

  What is the difference between favorable and unfavorable variances and how do you calculate them? A favorable variance is when costs are below expectations (or revenues are above expectations).

• Favorable and unfavorable variances

  Variance in terms of cost is the difference between the actual and standard cost.

• Static vs. Flexible Budget Variances

  The variance is the difference between expected material price and the actual material price. The major reason, for the variance being out of his control, is due to the price effect.

• Sales budget

  When might a favorable variance really be an unfavorable outcome? 4. Both A and B=Answer ( This can lead to the losses to the firm) Response discusses the sales budget

• Introduction to Managerial Accounting - Disbursement

  A) $8,855 favorable B) $10,328 favorable C) $13,047 unfavorable D) $14,520 unfavorable Answer: A Labor efficiency variance = difference between actual hours worked x standard cost and standard hours allowed

• Price Variance and Standard Cost Systems

  How would an unfavorable price variance on a particular purchase affect the overall price variance for the year? Brief discussion on variance A variance is the difference between standard and the actual.

• Labor and Variable Manufacturing Overhead Variances

  Total variance $ Requirement 2: Break down the difference in cost from requirement 1 above into a labor rate variance and a labor efficiency variance.

• Arco Inc. fixed overhead volume variance

  a $15,000 unfavorable b $15,000 favorable c $50,000 unfavorable d $50,000 favorable.

• Miller Toy Company and Valley View Hospital

  Then, we will find the difference between favorable and unfavorable variance.