[MattCPA18]

Becker Question –

I just started studying for BEC last week so I am still getting used to this new material. I spent a few days just on B2 just because it seems so far that B2 and B3 are the most difficult. Can someone confirm that for me?

I do have one specific question about B2. As simple as it seems the mnemonic SAD just doesnt make sense to me. That says standard – Actual = difference. Hence SAD. BUT, on the previous page where it first lists the different variance equations, they are all actual – standard. For example

DM price variance = actual quantity purchased x (Actual price – standard price)

and it says that in the other three equations. I must be looking at it the wrong way because this SAD thing keeps popping up everywhere on my software. If someone could please clarify this for me I would greatly appreciate it.

REG- 82

AUD – 68,84

BEC – Feb 1, 2014

FAR-

[TXgurl]

Hi, Matt,

The easy way I found to do variances:

1. Price variances:

Actual quantity times Actual price

minus Actual quantity times Standard price

2. Quantity variances:

Actual quantity times Standard price

minus Standard quantity times Standard price.

Or abbreviated:

Price Var = A x A minus A x S

Quantity Var = A x S minus S x S

The trick for me was making sure I knew what the question was asking, that is, whether it was a price variance or a quantity variance, or sometimes it is both.

Thanks to Liliana at the Becker final review class in Dallas.

REG 75
FAR 88
AUDIT 82
BEC 74, 12/4/2013 84 Thank You Lord Jesus !!!

[TXgurl]

Hi, Matt,

The easy way I found to do variances:

1. Price variances:

Actual quantity times Actual price

minus Actual quantity times Standard price

2. Quantity variances:

Actual quantity times Standard price

minus Standard quantity times Standard price.

Or abbreviated:

Price Var = A x A minus A x S

Quantity Var = A x S minus S x S

The trick for me was making sure I knew what the question was asking, that is, whether it was a price variance or a quantity variance, or sometimes it is both.

Thanks to Liliana at the Becker final review class in Dallas.

REG 75
FAR 88
AUDIT 82
BEC 74, 12/4/2013 84 Thank You Lord Jesus !!!

[Texas CPA]

B2 and B3 take forever to get through. Lots of computational heavy homework problems.

Reg - Passed 82 Nov 2012 - Becker
Aud - Passed 86 May 2013 - Becker
BEC - Passed 88 Aug 2013 - Becker
FAR - Passed 88 Nov 2013 - Becker

https://www.becker.com/cpa-review

Texas CPA

[Texas CPA]

B2 and B3 take forever to get through. Lots of computational heavy homework problems.

Reg - Passed 82 Nov 2012 - Becker
Aud - Passed 86 May 2013 - Becker
BEC - Passed 88 Aug 2013 - Becker
FAR - Passed 88 Nov 2013 - Becker

https://www.becker.com/cpa-review

Texas CPA

[MattCPA18]

Thank you Ill give it a try

[MattCPA18]

Thank you Ill give it a try

[Author]

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