Material mix variance is measured as
Answers
Explanation:
The material mix variance measures the impact of the deviation from the standard mix on material costs, while the material yield variance reflects the impact on material costs of the deviation from the standard input material allowed for actual production.
MATERIAL MIX VARIANCE
Material mix variance is measured as the difference between the cost of standard proportion of materials and the actual proportion of materials consumed in the production process during a period.
GETTING TO KNOW MORE ABOUT MATERIAL MIX VARIANCE:
* Material Mix Variance is a time period used withinside the production industry. Manufacturing companies make investments numerous cash on R&D to discern out the first-class fabric combo.
* This best combo is a hard and fast of components that reduces manufacturing prices even as preserving the preferred stage of quality. The corporations utilise this most effective fabric mixture as a benchmark for value and budgetary estimates.
* However, withinside the real world, due to the fact fabric prices fluctuate, this widespread value does now no longer continue to be constant. As a result, the value differs from the everyday value. This is known as Material Mix Variance. The variant may be due to a alternate in quantity from the appropriate mix.