- This topic has 1 reply, 2 voices, and was last updated 2 years ago by
.
Viewing 2 posts - 1 through 2 (of 2 total)
-
Posts
-
Material Usage Variance= SR (SQ-AQ)
Material Price Variance= AQ (SR-AR)..
why is the common rate SR in first one and not AR,
and why is the common qty AQ in the second one and not SQ?????AQ * AP
The difference is on the price – actual qty stays the same
Did we pay more than we should have or less for the actual qty usedAQ * SP
The difference is on the quantity – std price stays the same
Did we use more than we should have at the standard price.
With variances only one thing can change at a time.Au * SQ * SP.
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.