June 2016, Hybrid question 5
Could you please explain why the overtime pay of 25% was considered in the planning variance and not the operational?
My understanding is that the scenario reads "when overtime time is required", meaning that they're planning towards it, it hasn't actually been required thus resulting in planning variance.
But if it read, "overtime was required", then it would be considered in the operational variance. Is my understanding correct, sir?
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Variance analysis
9y ago#1Yes, your understanding is correct :-)
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