Page 130 - P1 Integrated Workbook STUDENT 2018
P. 130
Chapter 8
1.2 Calculations
Mix variance
Material Standard Actual Difference @ Standard Variance
mix* mix price
A X X X X X
B X X X X X
X X X
* this is the key calculation for mix variances. You need to split the total actual
quantity in the standard ratio of the materials.
Yield variance
Actual yield (output) X units
Standard yield from actual input Y units
––––––––
X – Y units
@ Average price per unit of output $
––––––––
Variance (X – Y) × $
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