Direct materials quantity variance
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Direct materials quantity variance this variance tells managers how much of the total direct materials variance is due to using a larger or smaller quantity of direct materials than expected. It is calculated as follows: SP X (AQU - SQA).
Definitions
According to Managerial Accounting by Braun, Tietz (5th edition),
- Direct materials quantity variance. This variance tells managers how much of the total direct materials variance is due to using a larger or smaller quantity of direct materials than expected. It is calculated as follows: SP X (AQU - SQA).
