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Many "old" barriers to entry have fallen by the wayside.For example,large investments that use to keep competitors out of the market no longer act as deterrents because there is ample capital on a global scale that is constantly searching for good investments.
Material Purchase Price Variance
A reiteration, focusing on the deviation between the actual amount paid for material and the standard cost.
Standard Price
The predetermined cost assigned to materials, labor, and overhead for the purpose of budgeting and cost control.
Actual Purchase Price
The specific cost paid for goods or services at the time of purchase, as opposed to the budgeted or standard cost.
Variable Manufacturing Overhead
The portion of manufacturing overhead costs that varies with the level of production, such as utilities or materials used in the production process.
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