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ACCT4 Chp 10
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The difference between the actual variable overhead cost incurred during a period and the standard cost that should have been incurred based on the actual activity of the period.
Variable overhead rate variance
The difference between the actual level of activity (direct labor-hours, machine-hours, or some other base) and the standard activity allowed, multiplied by the variable part of the predetermined overhead rate.
Variable overhead efficiency variance
The standard quantity allowed of an input per unit of a specific product, multiplied by the standard price of the input.
Standard cost per unit
A detailed listing of the standard amounts of inputs and their costs that are required to produce one unit of a specific product.
Standard cost card
A variance that is computed by taking the difference between the actual quantity of the input used and the amount of the input that should have been used for the actual level of output and x the result by the standard price of the input.
Quantity variance
A variance that is computed by taking the difference between the actual price and the standard price and multiplying the result by the actual quantity of the input.
Price variance
The difference between the actual quantity of materials used in production and the standard quantity allowed for the actual output, multiplied by the standard price per unit of materials.
Materials quantity variance
The difference between a direct material’s actual price per unit and its standard price per unit, multiplied by the quantity purchased.
Materials price variance
The difference between the actual hourly labor rate and the standard rate, multiplied by the number of hours worked during the period.
Labor rate variance
The difference between the actual labor-hours taken to complete a task and the standard hours allowed for the actual output, multiplied by the standard hourly labor rate.
Labor efficiency variance


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