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Topic
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Becker Question –
The mnemonic SAD seems very helpful and I think I already have it memorized, however I am confused as to why they say it has to be that order when the previous page is different. The mnemonic says standard – Actual = difference. Hence SAD. BUT, on the previous page where it first lists the different variance equations, they are all actual – standard. For example
DM price variance = actual quantity purchased x (Actual price – standard price)
Anybody know why they do this? Which one is correct? Or does it not matter and you just think through the numbers and whether it would be favorable or not? I don’t think it’s a huge deal, just annoying that the examples before are the opposite way. Thanks!
FAR - 65,74,73,78
AUD - 72, 73
BEC -
REG -
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