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Title: varience

Essay Details:

Subject: Business
Author: Lloyd G
Date: February 14, 2015
Level: University
Grade: A
Length: 3 / 866

Essay text:

Variances are to be calculated for each department separately. The standard/Budgeted values means the Budgeted Values for actual Output. This Budget is called Flexible Budget ( How to Prepare?) Variances are always the difference between values actually used and Budgeted values for actual output. All variances are in Dollars/Rupees. Any Variance = Some Quantity * Some Price ? Another quantity*another price. For any Case, follow the following steps: 1) identify causes for the variance 2) Hold some Department to be responsible for it. 3) Suggest remedial, if possible 2 Golden Rules: Cost Control is always done on Actual Output Inefficiency of one department should never be attributed/overlapped to another department...

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