Cost accounting-standard costing

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HARITHA

HARITHA (Querist)
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09 June 2016 sir,,, What is the relationship between Expenditure Variance, Efficiency Variance and Capacity Variance???

Guest

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09 June 2016 Fixed OH Cost Variance is divided in two Parts:
1]Volume Variance &
2]Expenditure Variance (Simply Budgeted OH - Actual OH) ->Kitne exp lagne the & tumne kitne lagaye?
(less actual exp is better i.e favourable)
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Volume Variance ( Output based ) divided in 3 parts:
1]Calendar Variance (Jyada din kaam kiya toh achha)
2]Capacity Variance (agar machine jyada der tak kaam kare toh achha)
3]Efficiency Variance (agar kum time me kaam pura kare toh achha)

HARITHA

HARITHA (Querist)
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09 June 2016 Isn't there any common relationship formula for Expenditure , Efficiency & Capacity Variance???