Annuity and Present Value Table

You need to watch the lectures about investment appraisal because it is mainly in NPV investment appraisal questions that we are using the discount tables.
Annuity tables are used when it is an equal cash flow over several years. Ordinary present value tables are used for individual cash flows.
(You could use the ordinary present value tables for annuities (equal annual cash flows) but it is faster to use the annuity tables – they are just the total of the individual discount factors for each year.)

In future you must start a new thread when you are asking about a different topic – variances obviously have nothing to do with present value tables 🙂
(It is because we want our answers to benefit everyone – we obviously can’t give private tuition 🙂 )

The capacity variance is looking at whether we got more or less labour then we budgeted on having (and are therefore able to produce more or less units than we budgeted on producing).
The efficiency variance is looking at whether about worked faster or slower than they should have done (and therefore, again, we are able to produce more or less units than would be expected).

I do explain the logic behind this in my free lectures on variances. (And do make sure you understand and are not simply learning formulae – the examiner deliberately sets questions to check that you understand and are not just learning rules.)

You are welcome 🙂