Financial Performance - Variances

baileyqueens

Doing question 1.2 & 1.3 on CBT2 online, and come across the Direct Material Usage, Direct Material Price, Direct Labour Rate, Direct Labour Efficiency, Fixed Over Head Capacity, Fixed Over Head Expenditure & Fixed Over Head Efficiency variances. I have never come across these before, tried looking in the Osborne Books & On the AAT website but with no luck. Could someone please give me a bit of guidance on how to calculate these variances?

Cheers
Dan

janwal

Hi Dan

If you follow this link to e-learning section ( you will need to lof into MYATT) there is one call labour and material variances that calls through it all.

https://services.aat.org.uk/myaat/learning_area_overviews_and_assessment_briefings/level4/

If you need any other help shout I'm at work at the mo so don't have any notes with me.

When is your exam, mine is 2nd May

Jan

baileyqueens

Hi Jan,

Been through it on the AAT website but it still makes no sense to me

Mine is on Monday, so im getting really worried about it.

sarah2266

HI
I sat the financial performance exam last week and it was full of questions on variances and they
are all in the osbourne book as this is what i study from....i was even dreaming about variances which
was not very pleasant.
i think the practice assessments are a good likeness to the actual exams
Good luck monday
sarah

SandyHood

5 out of the 6 tasks in section 1 test your knowledge and understanding of variances

How have you studied financial performance and in your words

never come across these before

Why are you taking an exam on Monday when you have such a gulf in your knowledge?

Chelle

I was kind of going to say what Sandy said, variances are the main part of the exam really so if you haven't come across these before, what have you been studying?

The AAT practice papers, e learning, Osborne books and Kaplan books all have guidance on them.

It took me 4 attempts to pass this exam, it certainly is an exam to be taken lightly.