Developing and Insight into Labour and Material Variance

The calculation of labour and material variances is not sufficient; we require knowing how the variance could have typically happened in the first place, and whether there is any connection among one causes of the variance to another. As an example: a higher price of materials could have resulted in a not favourable direct material price variance: although, because of the high quality though high priced input materials; it could have led to a favourable efficiency variance.

Posted Date: 2/7/2013 6:58:10 AM | Location : United States

Ask an Expert

Related Discussions:- Developing and insight into labour and material variance, Assignment Help, Ask Question on Developing and insight into labour and material variance, Get Answer, Expert's Help, Developing and insight into labour and material variance Discussions

Write discussion on Developing and insight into labour and material variance
Your posts are moderated

Write your message here..

Related Questions

Timbatown Pty Ltd, a partial income statement a partial income statement

Business and the generation of accounting standards, This time of year we a... This time of year we all here about football. For me it is the bad news of how poorly the Buffalo Bills are performing. Hopefully your favorite team is doing well. One thing we

#investment appraisal techniques, #what is the formula for calculating payb... #what is the formula for calculating payback period and what are its limitations ?

Calculate the cost of capital and units of capital, The owner of the Hughes... The owner of the Hughes Car Wash believes that the relationship between the number of cars washed and the amount of labor employed is Q = 0.8 + 4.5 L - 0.3 L2 where Q = the num

Irrelevant cost., what is irrelevant cost and give example what is irrelevant cost and give example

Why is it important for financial statements, Why is it important for finan... Why is it important for financial statements and other external reports to be based on generally accepted accounting principles?

Accounting 561, Your organization (City Rehab) has been approached by an MC... Your organization (City Rehab) has been approached by an MCO looking for an exclusive arrangement for the rehabilitation of its hip replacement patients. The MCO is aggressively po

MARGINAL COST APPLICATIONS, HOW APPLICABLE IS THE MARGINAL COSTING CONCEPT ... HOW APPLICABLE IS THE MARGINAL COSTING CONCEPT IN ACCOUNTING

Contract costing, how to prepare contract account how to prepare contract account

Compute break even assuming direct materials cost, Below find production an... Below find production and sales information for Herrestad Company. We will use this same company for all the SLPs in this course.  Product information