[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-81199-en":3,"doc-seo-81199-105":29,"detail-sidebar-cat-0-en-105":90},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":20,"is_deleted":4,"is_public":21,"is_downloadable":21,"audit_status":21,"page_count":20,"language":22,"language_code":23,"site_id":24,"html_lang":23,"table_of_contents":25,"faqs":26,"seo_title":13,"seo_description":14,"update_tm":27,"read_time":28},81199,13056703019404,"Miles","https://ap-avatar.wpscdn.com/davatar_29158cc5080c5b710cf443261637dec0",8,"Research & Report","PM Variance Analysis","This document provides a structured framework for variance analysis across materials, labour, overheads, and sales. It defines key variance types—material cost, price, usage, yield, and mix; labour cost, rate, idle time, efficiency, mix, and yield; variable overhead cost, rate, efficiency, mix, and yield; and fixed overhead expenditure and volume-related capacity and efficiency. It further details sales value, price, volume, mix, and quantity variances, plus separate planning versus operational variances for materials, labour, and sales volume and price.","| Sl. No. | Variance | Formula |\n| --- | --- | --- |\n| 1. | Material Variances |  |\n|  | Material Cost Variance (MCV) | SC-AC |\n|  | Material Price Variance (MPV) | (SR-AR) x AQ |\n|  | Material Usage Variance (MUV) | (SQ-AQ) x SR |\n|  | Material Yield Variance (MYV) | (SQ-AQ in Std Mix) x SR |\n|  | Material Mix Variance (MMV) | (AQ in Std Mix-AQ) x SR |\n|  | MCV | MPV + MUV |\n|  | MUV | MMV + MYV |\n| 2. | Labour Variances |  |\n|  | Labour Cost Variance (LCV) | SC-AC |\n|  | Labour Rate Variance (LRV) | (SR-AR) x AH Paid |\n|  | Labour Idle Time Variance (LITV) | (AH paid-AH worked) x SR |\n|  | Labour Efficiency Variance (LEV) | (SH-AH worked) x SR |\n|  | Labour Mix Variance (LMV) | (AH in Std Mix-AH worked) x SR |\n|  | Labour Yield Variance (LYV) | (SH-AH worked in Std Mix) x SR |\n|  | LCV | LRV + LEV + LITV |\n|  | LEV | LMV + LYV |\n| 3. | Variable Overhead Variances |  |\n|  | Variable Overhead Cost Variance (VOCV) | SC-AC |\n|  | Variable Overhead Rate Variance (VORV) | (SR-AR) x AH |\n|  | Variable Overhead Efficiency Variance (VOEV) | (SH-AH) x SR |\n|  | Variable Overhead Mix Variance (VOMV) | (AH in Std Mix-AH) x SR |\n|  | Variable Overhead Yield Variance (VOYV) | (SH-AH in Std Mix) x SR |\n|  | VOCV | VORV + VOEV |\n|  | VOEV | VOMV + VOYV |\n| 4. | Fixed Overhead Variances |  |\n|  | If the company uses marginal costing, then only expenditure variance is relevant: |  |\n|  | Fixed Overhead Expenditure Variance | Budgeted FC-Actual FC |\n|  | If the company uses absorption costing, then expenditure variance as well as volume variance is relevant: |  |\n|  | Fixed Overhead Volume Variance | (Actual Units-Budgeted Units) x Std FC pu |\n|  | If the fixed overhead is absorbed using labour hours, then the fixed overhead volume variance can be further analysed into two additional variances: |  |\n|  | Fixed Overhead Capacity Variance | (Actual Hrs-Budgeted Hrs) x Std FC per hr |\n\n\n|  | Fixed Overhead Efficiency Variance | (SHrs-AHrs) x Std FC per hr |\n| --- | --- | --- |\n| 5. | Sales Variances |  |\n|  | Sales Value Variance | Actual Sales-Std Sales |\n|  | Sales Price Variance (SPV) | (AR-SR) x AQ |\n|  | Sales Volume Variance (SVV) | (AQ-BQ) x SR |\n|  | Sales Mix Variance (SMV) | (AQ-AQ in Std Mix) x SR |\n|  | Sales Quantity Variance (SQV) | (AQ in Std Mix-BQ) x SR |\n|  | Note: |  |\n|  | In case of Sales Price Variance, rate refers to Selling Price per unit. |  |\n|  | In case of Sales Volume Variance, Sales Mix Variance and Sales Quantity Variance, rate refers to Profit per unit (under Absorption Costing) or Contribution per unit (under Marginal Costing) |  |\n| 6. | Material Planning & Operational Variance |  |\n|  | Material Price Planning Variance | (SR-RR) x AQ |\n|  | Material Price Operational Variance | (RR-AR) x AQ |\n|  | Material Usage Planning Variance | (SQ-RQ) x SR |\n|  | Material Usage Operational Variance | (RQ-AQ) x SR |\n| 7. | Labour Planning & Operational Variance |  |\n|  | Labour Rate Planning Variance | (SR-RR) x AH |\n|  | Labour Rate Operational Variance | (RR-AR) x AH |\n|  | Labour Efficiency Planning Variance | (SH-RH) x SR |\n|  | Labour Efficiency Operational Variance | (RH-AH) x SR |\n| 8. | Sales Volume Planning & Operational Variance |  |\n|  | Sales Volume Planning Variance i.e. Market Size Variance | (RQ-SQ) x SR |\n|  | Sales Volume Operational Variance i.e. Market Share Varia | n(AQ-RQ) x SR |\n|  | In case of Sales Volume Variance, Sales Mix Variance and Sales Quantity Variance, rate refers to Profit per unit (under Absorption Costing) or Contribution per unit (under Marginal Costing) |  |\n| 9. | Sales Price Planning & Operational Variance |  |\n|  | Sales Price Planning Variance | (RR-SR) x AQ |\n|  | Sales Price Operational Variance | (AR-RR) x AQ |\n|  | In case of Sales Price Variance, rate refers to Selling Price per unit. |  |","cbCair1acSSvf34L","https://ap.wps.com/l/cbCair1acSSvf34L","pdf",57392,2,1,"English","en",105,"# Material Variances\n## Labour Variances\n## Variable Overhead Variances\n## Fixed Overhead Variances\n# Sales Variances\n# Material Planning & Operational Variance\n# Labour Planning & Operational Variance\n# Sales Volume Planning & Operational Variance\n# Sales Price Planning & Operational Variance","[{\"question\":\"What formulas link material cost variance with material price and usage variances?\",\"answer\":\"Material Cost Variance (MCV) equals Material Price Variance (MPV) plus Material Usage Variance (MUV). MPV is (SR-AR) x AQ and MUV is (SQ-AQ) x SR.\"},{\"question\":\"How is labour cost variance decomposed?\",\"answer\":\"Labour Cost Variance (LCV) equals Labour Rate Variance (LRV) plus Labour Efficiency Variance (LEV) plus Labour Idle Time Variance (LITV). LEV further equals LMV + LYV.\"},{\"question\":\"How are sales value variances broken down by price and volume components?\",\"answer\":\"Sales Value Variance is Actual Sales minus Standard Sales. Sales Price Variance (SPV) is (AR-SR) x AQ, Sales Volume Variance (SVV) is (AQ-BQ) x SR, and mix/quantity variances separate the effects using standard mix assumptions.\"}]",1784151642,5,{"code":4,"msg":30,"data":31},"ok",{"site_id":24,"language":23,"slug":32,"title":13,"keywords":33,"description":14,"schema_data":34,"social_meta":85,"head_meta":87,"extra_data":89,"updated_unix":27},"pm-variance-analysis","",{"@graph":35,"@context":84},[36,52,67],{"@type":37,"itemListElement":38},"BreadcrumbList",[39,43,46,49],{"item":40,"name":41,"@type":42,"position":21},"https://docshare.wps.com","Home","ListItem",{"item":44,"name":45,"@type":42,"position":20},"https://docshare.wps.com/document/","Document",{"item":47,"name":12,"@type":42,"position":48},"https://docshare.wps.com/document/research-report/",3,{"item":50,"name":13,"@type":42,"position":51},"https://docshare.wps.com/document/pm-variance-analysis/81199/",4,{"url":50,"name":13,"@type":53,"author":54,"headline":13,"publisher":56,"fileFormat":59,"inLanguage":23,"description":14,"dateModified":60,"datePublished":61,"encodingFormat":59,"isAccessibleForFree":62,"interactionStatistic":63},"DigitalDocument",{"name":9,"@type":55},"Person",{"url":40,"name":57,"@type":58},"DocShare","Organization","application/pdf","2026-07-22","2026-07-15",true,{"@type":64,"interactionType":65,"userInteractionCount":20},"InteractionCounter",{"@type":66},"ViewAction",{"@type":68,"mainEntity":69},"FAQPage",[70,76,80],{"name":71,"@type":72,"acceptedAnswer":73},"What formulas link material cost variance with material price and usage variances?","Question",{"text":74,"@type":75},"Material Cost Variance (MCV) equals Material Price Variance (MPV) plus Material Usage Variance (MUV). MPV is (SR-AR) x AQ and MUV is (SQ-AQ) x SR.","Answer",{"name":77,"@type":72,"acceptedAnswer":78},"How is labour cost variance decomposed?",{"text":79,"@type":75},"Labour Cost Variance (LCV) equals Labour Rate Variance (LRV) plus Labour Efficiency Variance (LEV) plus Labour Idle Time Variance (LITV). LEV further equals LMV + LYV.",{"name":81,"@type":72,"acceptedAnswer":82},"How are sales value variances broken down by price and volume components?",{"text":83,"@type":75},"Sales Value Variance is Actual Sales minus Standard Sales. Sales Price Variance (SPV) is (AR-SR) x AQ, Sales Volume Variance (SVV) is (AQ-BQ) x SR, and mix/quantity variances separate the effects using standard mix assumptions.","https://schema.org",{"og:url":50,"og:type":86,"og:title":13,"og:site_name":57,"og:description":14},"article",{"robots":88,"canonical":50},"index,follow",{"doc_id":7,"site_id":24},{"code":4,"msg":5,"data":91},[92,96,100,104,108,113,118,121,126,129,133],{"id":21,"doc_module":4,"doc_module_name":45,"category_name":93,"show_sort_weight":94,"slug":95},"Story & Novel",90,"story-novel",{"id":20,"doc_module":4,"doc_module_name":45,"category_name":97,"show_sort_weight":98,"slug":99},"Literature",80,"literature",{"id":51,"doc_module":4,"doc_module_name":45,"category_name":101,"show_sort_weight":102,"slug":103},"Exam",70,"exam",{"id":28,"doc_module":4,"doc_module_name":45,"category_name":105,"show_sort_weight":106,"slug":107},"Comic",60,"comic",{"id":109,"doc_module":4,"doc_module_name":45,"category_name":110,"show_sort_weight":111,"slug":112},6,"Technology",50,"technology",{"id":114,"doc_module":4,"doc_module_name":45,"category_name":115,"show_sort_weight":116,"slug":117},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":45,"category_name":12,"show_sort_weight":119,"slug":120},30,"research-report",{"id":122,"doc_module":4,"doc_module_name":45,"category_name":123,"show_sort_weight":124,"slug":125},9,"Religion & Spirituality",20,"religion-spirituality",{"id":124,"doc_module":4,"doc_module_name":45,"category_name":127,"show_sort_weight":124,"slug":128},"World Cup","world-cup",{"id":130,"doc_module":4,"doc_module_name":45,"category_name":131,"show_sort_weight":130,"slug":132},10,"Lifestyle","lifestyle",{"id":134,"doc_module":4,"doc_module_name":45,"category_name":135,"show_sort_weight":28,"slug":136},19,"General","general"]