Price variance vs efficiency variance

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  • Опубликовано: 4 ноя 2024

Комментарии • 27

  • @jedski5956
    @jedski5956 2 года назад +3

    This is mindblowing. Now I don’t have to memorize why we use SP on Quantity Variance and AQ on Price Variance. Thanks you The Finance Storyteller.

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  2 года назад

      I am so happy to hear that! Yes, it's great to understand the concepts, rather than just memorize the formulas. :-)

  • @konstancyja82
    @konstancyja82 4 года назад +6

    You have an incredible way of explaining complicated topics in really easy way , with great visuals!
    All universities shall invite you as a guest speaker ... not even mentioning a companies !

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  4 года назад

      Thank you very much! Spent quite a bit of time putting this together, but I am happy with the end result.

  • @mumud8297
    @mumud8297 Год назад +1

    Thank you. This helped me fix my waterfall chart. Appreciate your hard work and dedication!

  • @theboombody
    @theboombody 3 года назад +3

    Man, I can tell you put a lot of time into this.

  • @grzegorzgielniak9309
    @grzegorzgielniak9309 4 года назад +1

    Hello
    I found your channel yesterday.
    Thank you very much for your work. It is very helpful in my job and easy to understand.

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  4 года назад

      Hello Grzegorz! Welcome to the channel! Thanks for the compliments. Enjoy the videos (and the review/quiz questions on the Community tab!).

  • @sylvanusngoya2881
    @sylvanusngoya2881 4 года назад +1

    Your are explaining very well I was asking my self, that why we use SP and why not actual price but now I have got the answer why we use SP instead of AP big up you are good instructor

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  4 года назад

      Thank you, Sylvanus! Yes, when you draw this out in a diagram and review the formulas, it starts to make a lot more sense! :-)

    • @AdityaGupta-gr8ds
      @AdityaGupta-gr8ds 3 года назад

      And can you explain here please!

    • @chythranharold448
      @chythranharold448 11 месяцев назад

      can you explain

  • @johnelmerclabita4740
    @johnelmerclabita4740 2 года назад +1

    I know this has been uploaded years ago but thank you! 🙏🏼

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  2 года назад

      You're very welcome, John! I enjoyed making the video, it hasn't received the number of views that it should (yet).

  • @mumud8297
    @mumud8297 Год назад +1

    Thanks!

  • @sylvanusngoya2881
    @sylvanusngoya2881 4 года назад +1

    You are good instructor

  • @princejag
    @princejag 4 года назад +1

    Logically explained.

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  4 года назад

      Thank you, Jagadeesh! Yes, this is a topic where clear logical thinking helps!

  • @AnhTuan-fv2kn
    @AnhTuan-fv2kn 2 года назад +1

    great video 😍😍😍

  • @sreejithm7699
    @sreejithm7699 11 месяцев назад

    why using SP*AQ to differentiate price variance and quantity variance instead of AP*SQ. is there any specific reason?

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  11 месяцев назад

      AQ is leading in a standard costing environment. How much did I actually use versus what I was supposed to use. Efficiency variances (using more or fewer units) are driven by manufacturing. Only then do we consider price variances (driven by sourcing).

    • @sreejithm7699
      @sreejithm7699 11 месяцев назад +1

      @@TheFinanceStoryteller thank you

    • @TheFinanceStoryteller
      @TheFinanceStoryteller  11 месяцев назад

      Happy to help!!!