Dictionary » Letter D » direct materials usage variance
A variance arising in a standard costing system that indicates the difference between the standard cost of direct materials that should have been used (standard quantity times standard cost) for the good output and the actual quantity of direct materials used at their standard cost. To learn more, see Explanation of Standard Costing.
| » For more clarity on this term: |
← Go Back |
Learn about our 2010 Master Accounting Download Package Now you can highlight, make notes, and study away from your computer.
|