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-   -   Mix and Yield variances (https://www.askmehelpdesk.com/showthread.php?t=35348)

  • Sep 28, 2006, 07:17 AM
    wordy
    Mix and Yield variances
    Is there a formula for calculating direct materials price and usage variance?
  • Sep 28, 2006, 06:59 PM
    CaptainForest
    Material Price Variance = Qa (Ps-Pa)
    Where Qa is actual quantity used, Ps is standard/budget price and Pa is actual price

    Material Efficiency Variance = Ps (Qs-Qa)
    Where Ps is standard/budget price, Qs is budget quantity, and Qa is actual quantity used

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