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Variable Overhead Efficiency Variance
The difference between the actual hours worked to produce an item and the standard hours expected, multiplied by the variable overhead rate.
Direct Labour Efficiency Variance
The difference between the expected hours to produce a specific number of units and the actual hours used.
Direct Material Used
Direct material used involves the consumption of raw materials that are transformed into and directly identifiable with the finished product in the manufacturing process.
Variable Manuf. Overhead
Variable manufacturing overhead refers to the indirect costs that change with the level of production, such as utilities for the manufacturing plant.
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