For Sandy hood- Variances

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
Just going back to the explanation , you state the volume variance is the difference between the output, so when asked to calculate the volume variance use the absorption rate x (budgeted output-actual output)Or is that i am to use absorption rate x Budgeted hours for actual out put- standard hours<BR>Let me know.<BR><BR>This is really giving me a hard time< i just really need to what to use, whether hours or output for volume or if either can be used at given depending on the question.<BR><BR>I am now looking at decmber 2003 paper.<BR>thanks

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    For Sandy hood- Variances

    Use the hours<BR><BR>remember the oar is the rate per hour<BR>So (Standard hours - Budgeted Hours) x OAR = Variance
  • System
    System Posts: 100,534 🤖 Admin 🤖
    For Sandy hood- Variances

    thanks sandyhood

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