Hello everyone -- i'm trying to figure out the impact the price a specific product had on the blended price variance.
In this example, price is down by $30, how much of the $30 variance is contributed to product A? Also, what's the best way to calculate price/mix/volume variance? Looking for something that could recreated easily among different product, and period views.
In this example, price is down by $30, how much of the $30 variance is contributed to product A? Also, what's the best way to calculate price/mix/volume variance? Looking for something that could recreated easily among different product, and period views.
| Product | Actual Price | Plan Price | Actual Volume | Plan Volume | Actual Revenue | Plan Revenue | Price Variance | Volume Variance | Revenue Variance |
| A | $510 | $525 | 20000 | 18000 | $10,200,000 | $9,450,000 | -$15 | 2000 | -$750,000 |
| B | $400 | $385 | 1100 | 1400 | $440,000 | $539,000 | $15 | -300 | $99,000 |
| C | $41 | $40 | 1000 | 300 | $41,000 | $12,000 | $1 | 700 | -$29,000 |
| D | $150 | $140 | 7000 | 5000 | $1,050,000 | $700,000 | $10 | 2000 | -$350,000 |
| Total | $403 | $433 | 29100 | 24700 | $11,731,000 | $10,701,000 | -$30 | 4400 | -$1,030,000 |
