Formula for material price variance

Q.  The formula to calculate material price variance is
- Published on 04 Sep 15

a. Total standard cost - Total actual cost
b. Standard cost of revised standard mix - Standard cost of actual mix
c. (Standard unit price - Actual unit price) * Actual quantity used
d. (Standard quantity - Actual quantity) * Unit standard price

ANSWER: (Standard unit price - Actual unit price) * Actual quantity used

Post your comment / Share knowledge


Enter the code shown above:

(Note: If you cannot read the numbers in the above image, reload the page to generate a new one.)