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Fixed Overhead Costs
Regular, unchanged costs incurred by a business, regardless of its level of production or activity, such as rent and salaries.
Control Perspective
An approach focusing on the monitoring and adjusting of processes and strategies to achieve desired outcomes or objectives.
Revenue Variance
The difference between how much the revenue should have been, given the actual level of activity, and the actual revenue for the period. A favorable (unfavorable) revenue variance occurs because the revenue is higher (lower) than expected, given the actual level of activity for the period.
Cost Variance
The difference between the expected cost of a project or production process and the actual cost incurred.
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