Pev & Pcr
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Nicolaw1702
Registered Posts: 64 Regular contributor ⭐
Hello Everbody,
Just a thread for all those sitting PEV & PCR in December (NEXT WEEK) :confused1:
Are there any tips anyone can give on remembering the Variances? It is mainly the Overhead one which is tricky!!
Any good tips on remembering these would be very welcome
Good Luck everybody
Just a thread for all those sitting PEV & PCR in December (NEXT WEEK) :confused1:
Are there any tips anyone can give on remembering the Variances? It is mainly the Overhead one which is tricky!!
Any good tips on remembering these would be very welcome
Good Luck everybody
0
Comments
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Yes, do you know the variances table, its really good to learn that (page 90 tutorial bk)0
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Is that in the Kaplan book?0
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Is it possible for you to put the table on here ?
Only any help with these variances would be much appreciated !!
Thanks0 -
This is how I remember it.
Price Variance
SP-AP x AU
Material Usage Variance
SU-AU x SP
Rate Variance
SR-AR x AE
Efficiency Variance
SE-AE x SR
Overhead Expenditure
Budgeted - Actual
Overhead Volume
(Actual Budgeted Hours x Absorption Rate) - (Budgeted Hours x Absorption Rate)
Overhead Capacity
(Actual Hours x Absorption Rate - Budgeted Hours x Absorption Rate)
Overhead Efficiency
(Actual Budgeted Hours x Absorption Rate) - (Actual Hours x Absorption Rate)0
