extrax standard contribution per
Chat with our AI personalities
No, the volume variance is controllable but not related to spending. The volume variance calculates the dollar impact of producing more or less than the budgeted production volume. No, the volume variance is controllable but not related to spending. The volume variance calculates the dollar impact of producing more or less than the budgeted production volume.
Once the contribution margin is determined, it can be used to calculate the break-even point in volume of units or in total sales dollars.
Favourable fixed overhead variance occurs when actual fixed cost is less than the budgeted fixed overhead expenses.
Favourable variance is that variance which is good for business while unfavourable variance is bad for business
There are 7 variances associated with a budget ( which are generally calculated for controlling purposes) 1- Material Price variance 2- Material Quantity variance 3- Labor rate variance 4- Labor efficiency variance 5- Spending variance 6- Efficiency variance 7- Capacity variance