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A budget usually refers to a department'sor a company's projected revenues, costs, or expenses. A standard usually refers to a projected amount per unit of product, per unit of input (such as direct materials, factory overhead), or per unit of output.
For example, a manufacturer will have budgets for its manufacturing or factory overhead departments. Let's assume that the budgeted manufacturing overhead for the upcoming year is expected to be $1,000,000 in order to produce the expected 100,000 identical units of product. The standard cost of manufacturing overhead per unit of product is $10 ($1,000,000 divided by 100,000 units). When the products are not identical, the $1,000,000 of manufacturing overhead might be divided by the expected number of machine hours required to manufacture the units of product. Assuming it will take 50,000 machine hours, the standard cost of the manufacturing overhead will be $20 per machine hour ($1,000,000 divided by 50,000 machine hours).
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The difference between actual and standard cost caused by the difference between the actual quantity and the standard quantity is called the?
The difference between actual quantity and standard quantity is called the material quantity variance.
The similarities and differences between standards and budgets?
One similarity between standards and budgets is they are both predetermined costs. A major difference is that companies can report inventories using standard costs but not budget costs.
What is the difference between budget center and cost center?
Japtj
What is the difference between a fixed budget and a flexible budget?
is a plan for a single level of production, whereas a flexible budget can be converted to any level of production.
What is the difference between a budget and a capital budget?
A budget is a financial plan for the upcoming period. A capital budget, on the other hand, involves an organization's proposed long-range major projects.
What is the difference between financial budget and a financial budget?
There is no difference between them.. Their difference only is how you understood about financial budget.. :)
What is the difference between standard theory and extended standard theory?
What is the difference between standard theory and extended standard theory?
Illustrate by means of a diagram the budget planning process show clearly the difference between a functional budget and a financial budget?
iiiustrate by means of a diagram the budget planning process show clearly the difference between a functional budget and a financial budget
What is a budget variance?
A budget "variance" is the difference between planned and actual performance.
What is budget variance?
A budget "variance" is the difference between planned and actual performance.
What is difference between standard and non standard?
the difference is that standard is being used by majority
What is the similarity and difference between the cash budget and long term financial planning?
what is the difference and similarity between cash budget and long term financial planning
The difference between actual and standard cost caused by the difference between the actual quantity and the standard quantity is called the?
The difference between actual quantity and standard quantity is called the material quantity variance.
The similarities and differences between standards and budgets?
One similarity between standards and budgets is they are both predetermined costs. A major difference is that companies can report inventories using standard costs but not budget costs.
What is the difference between budget center and cost center?
Japtj
What is the relationship of the standard error of the mean to the standard error of the difference?
It would help to know the standard error of the difference between what elements.
difference between Regulatory standard and Voluntary Standard?
ya yeet
