How does one calculate budget variance?

Answer

In budgeting, variance is the difference between a budgeted, planned or standard amount and the actual amount incurred or sold. Variance can be calculated for both costs and revenues. Variances are divided according to their effect or nature of the underlying amounts.
Q&A Related to "How does one calculate budget variance?"
Budget variances are favorable or unfavorable. Favorable variances occur when revenue is higher - and expenses are lower - than the company anticipated, earning it a higher net income
http://www.ehow.com/info_10017656_causes-variances...
There are various meanings for this, but it can mean an event that departs from the norm. Also it's disharmony or contention that can break up a group. For more information see here
http://www.ask.com/web-answers/Reference/Dictionar...
There are 7 variances associated with a budget ( which are generally calculated for controlling purposes) 1- Material Price variance. 2- Material Quantity variance. 3- Labor rate
http://wiki.answers.com/Q/What_factors_causes_Budg...
I thought this was the Special Ed section, not accounting or business management? please learn what special ed is, and please learn to use yahoo answers properly thank you
http://answers.yahoo.com/question/index?qid=200711...
1 Additional Answer
A budget variance is the difference between a budgeted, planned or standard amount and the actual amount used. Usually occurring in revenues and expenses, the planning tool is vital in helping the business or person to plan for the future by knowing how wide the variance is expected to be.
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In budgeting a variance is the difference between a budgeted or standard amount and the actual amount incurred/sold. Higher revenues cause a favorable variance ...
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