- *budgeting, the incurring of larger than anticipated costs or the earning of lower than anticipated revenues. An unfavorable variance indicates that actual performance is worse than expected. The term is also used in *standard costing. Contrast *favorable variance.
Auditor's dictionary. 2014.
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Unfavorable Variance — An accounting term that describes instances where actual costs are greater than the standard or expected costs. An unfavorable variance can alert management that the company s profit will be less than expected. The sooner an unfavorable variance… … Investment dictionary
Неблагоприятное отклонение (UNFAVORABLE VARIANCE) — Сумма, на которую фактические затраты превышают нормативные или плановые, либо сумма, на которую фактические доходы меньше нормативных или плановых … Словарь терминов по управленческому учету
variance — Civil and criminal practice. A discrepancy or disagreement between two instruments or two pleading allegations in the same cause, which should by law be entirely consonant. Thus, if the evidence adduced by the plaintiff does not agree with the… … Black's law dictionary
variance — 1. In *budgeting and *standard costing, the difference between actual and anticipated costs or revenues. Variances are often categorized as *favorable or Unfavorable. 2. A measure of the dispersion of a *probability distribution. The variance is… … Auditor's dictionary
Sales Mix Variance — The difference in the quantity of customer purchases of each product or service compared to the quantities that a business expected to sell. Sales mix variance compares the actual mix of sales to the budgeted mix. The metric can be used for… … Investment dictionary
favorable variance — In *budgeting, the incurring of smaller than anticipated costs or the earning of larger than anticipated revenues. A favorable variance indicates that actual performance is better than expected. The term is also used in *standard costing.… … Auditor's dictionary
adverse variance — An alternative term for Unfavorable variance … Auditor's dictionary
Variable Overhead Efficiency Variance — The difference between actual variable overhead based on the true time taken to manufacture a product, and standard variable overhead based on the time budgeted for it. It arises from variance in productive efficiency. For example, the number of… … Investment dictionary
Yield Variance — The difference between actual output and standard output of a production or manufacturing process, based on standard inputs of materials and labor. The yield variance is valued at standard cost. Yield variance is generally unfavorable, i.e.,… … Investment dictionary
Variable Overhead Spending Variance — The difference between actual variable overhead based on costs for indirect material involved in manufacturing, and standard variable overhead based on the budgeted costs. Variable overhead spending variance arises from difference in the costs of … Investment dictionary