When Multiple Labor Categories Are Used,the Monetary Impact of Using

question 110

Short Answer

When multiple labor categories are used,the monetary impact of using a higher or lower number of hours than a standard allows is referred to as a ______________________________ variance.

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Definitions:

Sales Price Variance

The difference between the actual selling price and the expected selling price of a product, multiplied by the number of units sold.

Fixed Overhead Budget Variance

The gap between the planned fixed overhead expenses and the real fixed overhead expenses that were realized.

Variance Reports

Financial documents that compare actual financial results to planned or budgeted amounts, highlighting discrepancies.

Budgeted Expenditure

Planned spending for a specific period as outlined in a budget, which serves as a financial plan and guideline for managing expenses.