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actual sales made this period| | |

standard mix proportion is:| | |

actual sales at standard mix| | |

| | | | |

| | | | |

budgeted sales | | | |

budgeted sales margin| | |

=budgeted sales revenue| | |

| | | | |

| | | | |

actual sales| | | |

actual sales margin| | | |

=actual sales revenue| | |

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| | | | |

* * total sales margin variance| | |

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budgeted sales| | | |

budgeted sales contribution| | |

=budgeted total contribution| | |

| | | | |

| | | | |

actual sales| | | |

actual contribution| | | |

=actual total contribution| | |

| | | | |

| | | | |

* * total sales contribution variance| |

Sales margin variances

* sales margin price variance

(standard sales margin-actual sales margin)x actual sales

* sales margin mix variance

(actual sales at standard mix-actual sales)x budgeted sales margin

* sales margin volume variance

(actual sales at standard mix-budgeted sales)x budgeted sales margin

Check:

Sales margin price variance

Sales margin mix variance

Sales margin volume variance

=Total sales margin variance

Sales contribution variance

* sales contribution price

(standard sales contribution-actual sales contribution)x actual sales

* sales contribution mix

(actual sales at standard mix-actual sales)x standard sales contribution

* sales contribution volume

(actual sales at standard mix-budgeted sales)x standard sales contribution

Check:

Sales contribution price variance

Sales contribution mix variance

Sales contribution volume variance

=Total sales contribution variance

Material yield/mix & price variances

Standard material cost per unit

No. of unit produced this period

Standard material cost of output produced

Actual material costs incurred this period

=Total material variance

* Material price variance: Mat. …………. Mat. ………….. Mat. ……………. Mat. ……………… Mat. ………………. Standard cost per unit

Actual cost per unit

Difference

X actual quantity used

=Material price variance

* Material usage variance: Mat. …………. Mat. ………….. Mat. ……………. Mat. ……………… Mat. ………………. Standard quantity for actual output

Actual quantity used

Difference

X standard cost per kg

=Material usage variance

Check:

Price variance

Usage variance

=Total variance

* Material mix variance: Mat. …………. Mat. ………….. Mat. ……………. Mat. ……………… Mat. ………………. Standard mix of materials(kg)

Standard mix of materials(%)

Materials input this period:

Input materials at standard mix

Actual material used

Difference

X standard cost per unit

=Material mix variance

* Material yield variance

Materials input this period

Standard qua.of raw mat.per unit of output

Therefore standard yield for actual material input is:

Actual output produced this period

Difference

X Standard material cost per unit of output

=Material yield variance

Check:

Mix variance

Yield variance

=Total usage variance

Labour/Fixed overhead variances

Output produced this period

Standard labour cost per unit

Standard labour cost per actual output

Actual labour cost for this period

=Total labour variance

* Labour rate variance

AH x (SR-AR)

* Labour efficiency variance

SR x (SH-AH)

* Idle time variance

IT x SR

* Overtime variance

OT x SR

Check:

Labour rate variance

Labour efficiency variance

Idle time variance

Overtime variance

=Total labour variance

Standard fixed overhead absorption rate (SFOAR)

Labour hours per unit

Fixed overheads per unit of output

Actual output produced

Standard fixed costs for actual output

Actual fixed overheads incurred

=Total fixed overhead variance

* Fixed overhead expenditure variance

budgeted costs-...