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An Attempt to Determine Whether a Given Item Separates the High

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An attempt to determine whether a given item separates the high from the low performers on the overall test is called the


Definitions:

Budgeted Volume

The amount of production expected to occur during the year, usually stated in terms of a common input measure such as direct labor hours. Budgeted volume can be estimated as expected volume for next year or normal volume over the long run.

Actual Output

The tangible products or results produced by a company's operations or activities.

Total Overhead Variance

The difference between total actual and applied overhead.

Direct Labor Hours

The total hours worked by employees directly involved in the manufacturing process, often used to allocate labor costs to products.

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