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Students are to use the MS Excel Worksheet related to Coachbuilders’ 65 Seat Bus project and calculate and review ALL of the following Standard Cost variances:
Direct Material Variances (These can be calculated for EACH line item [ROW] AND “Summed” [down the column] for each product):
Direct Material Price Variance (DMPV)
Direct Material Quantity Variance (DMQV)
Total Direct Material Variance (Sum the above two variances and check if it equals total difference between the budgeted/standard cost and actual cost – it should!)
Direct Labour Variances (These can be calculated for EACH line item [ROW] AND “Summed” [down the column] for each product):
 Direct Labour Rate Variance (DLRV)
 Direct Labour Efficiency Variance (DLEV)
Total Direct Labour Variance (Sum the above two variances and check if it equals total difference between the budgeted/standard cost and actual cost – it should!)
Variable Overhead:
 Standard Variable Spending Variance (SVOHD Spending Variance)
 Standard Variable Efficiency Variance (SVOHD Efficiency Variance)
Fixed Overhead:
 Standard Fixed Spending Variance (SFOHD Spending Variance)
 Standard Fixed Overhead Production-Volume Variance



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