Market Size & Market Share variances

This topic has 1 reply, 2 voices, and was last updated 4 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
October 18, 2021 at 6:51 pm #638352
John1998m
Participant
- Topics: 73
- Replies: 40
Sales Usage variance is sub-divided into a Planning & Operational variance.

(1) Market Size variance is calculated as:
(Standard Sales – Revised Standard Sales) x Profit/unit

[It is actually same as Sales Usage Planning variance]

(2) Market Share variance is calculated as:
(Revised Standard Sales – Actual Sales) x Profit/unit

[It is actually same as Sales Usage Operational variance]

Is it all true?
October 19, 2021 at 7:22 am #638415
John Moffat
Keymaster
- Topics: 57
- Replies: 54857
Yes, except it is not called the sales usage variance, but is called the sales volume variance.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.