Standard Costs and Variance Analysis

This video discusses the use of standard costs in Managerial Accounting. It also provides a comprehensive example to illustrate how standard costs are useful in calculating the price variance and quantity variance.
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[@ashleysanfino8221]

Why can't professors explain it this eloquently? This topic was giving me such a massive headache until I saw this video. You actually explain it, rather than just telling me to memorize a formula. Thank you! You're a godsend!

[@ashleysanfino8221]

Also, where are you from? I've been trying to pin your accent but can't figure it out. Chicago transplant maybe?

[@Edspira]

No problem, I'm glad you were able to understand it. And thank you for the kind words!

[@Edspira]

You are correct! I grew up around the south side of Chicago. It's funny, people always ask me if I'm from Minnesota, Canada, etc. but no one ever guesses Chicago.

[@whatthefaddy97]

agreed

[@dankuthegreatone2348]

i am doing this topic now and the notes and lecture made no mention of how to calculate standard quantity, very glad for this video made from 2014

[@reneefongg]

I tell you what, all your videos save my degree, from Corporate Finance to Management Accounting, I have no idea what my lecturers are talking, You are a life saver!

[@ilazer6058]

These videos have been very helpful to me when studying for my managerial accounting final. I'm using the Horngren textbook in class and these videos are so well matched with the material in the textbook. Thank you for making these!

[@canestim]

Honestly, best teacher I've ever had, thank you for what you do.

[@iceesky]

i didnt want to listen to my prof's 2 hour lecture of this topic and just end up being more confused, so your vids are incredibly helpful!! and like that you also explain why this is important in real life so I'm really appreciating this topic even more as a bus ad student

[@GGallion7]

You made the material easy to understand, thank you.

[@Edspira]

No problem! Best wishes :)

[@allyu2305]

Thank you so much, this video is awesome! I got a 95 on my first intermediate exam and 92 on the first cost exams, and most of my success came from watching your explanations. Would it be possible to make some videos on overhead variances?

[@brianbashala6884]

I found this channel 2 days before my final exam and it helped so much you're the goat edspira thanks!!

[@louismorgner]

Great quality content. Love the way you break down the different concepts while allowing the viewer to follow along.

[@devinhsu1305]

I am studying for my CPA and this video helps so much. You are truly amazing!

[@Ultimatum12345678910]

You're a wonderful teacher, thank you so very much for your video. You really made this concept seem much more straightforward than how it was presented in my lectures.

[@maryroseevangelista4870]

I wish you could make more easy to understand videos like this. It’s one way of showing your unselfish concern to all accounting as well as non accounting students. Thank you !

[@_R0RY]

Brilliant video, summed up about 50 pages of my text book in 16 mins! Thank you for putting in the time to produce the vids on your channel.

[@edvan3407]

Thanks Bro. You saved my college life. You are my standard and actual hero!

[@toolplanner]

Good stuff. Straight forward presentation and easy to understand.

[@liamsanders1502]

Truly a godsend, thank you for all the work you put into making these videos

[@praisecherenitembo6570]

This video helped me pass my exam. I was way behind but you made me understand standard costing in a day. Thank you.

[@nacharles2013]

Thank you so very much for the time you spent to make this video.It was excellent and I now understand this topic.Keep up the great work!

[@gordonharkness2709]

The std quantity figure is always the wild card on where the calculations go wrong, this explains this rationale clearly. Thanks for that!!

[@notrosyenough]

I'm using your videos to study for my final and I'm a little upset I didn't find you sooner! You explain the material so well!! Thank you so much, maybe now I will get an A on my exam!!

[@stevemann120]

Upon graduation I am dedicating my degree to you sir! You made it possible!

[@JC-st6fi]

Great video, clear and easy to understand. I learned all this in cost accounting awhile back but this was a much more concise explanation.

[@Edspira]

Happy to help!

[@ninanguyen3401]

Thank you for this great explanation on budgeting and variance, it's very helpful

[@matthewaniol7]

Im currently doing my CPA and i watch all your videos. You make everything so easy to understand. Thanks a lot!

[@Edspira]

Happy to help my friend. I hope you pass the CPA, good luck!

[@barnabasretta1600]

You are the best accounting teacher I have seen!!

[@ivanaleksandrov5475]

Thank you so much for all the videos connected with Management Accounting. You have helped me a lot!

[@Edspira]

It's my pleasure! Best wishes

[@susanrodriguez9438]

I'm so glad this channel exists

[@Edspira]

Happy to help!

[@32459]

Thank you for explaining this concept in such an intuitive, logical way!! First looking on the lecture slides I thought this must be super complicated, but it is actually simple if one can explain it well. Much appreciated!!

[@Edspira]

No problem, accounting can be intimidating sometimes. I'm glad the video helped make standard costing and variances easier to understand!

[@pantsharad]

Thanks for making topic simple, at the end I truly understand it.

[@lindahenry9334]

Thank you. You explained how to analyse variances superbly.

[@clabelle244]

Do you have videos for variable manufacturing overhead variance and fixed manufacturing overhead variances?

[@sumit6567]

You explained it so nicely that I forgot what I crammed!! Today is my final year exam of B.com (H) in India, and this helped a lot!! Thank you.

[@jenns4757]

Your videos helped me get an A in my managerial accounting class! THANK YOU!! ❤

[@Edspira]

Congratulations on acing the course!

[@tiffanytipton7820]

Thank you so much! This was extremely helpful...you have no idea! Please keep up the good work!

[@zippy2u]

Thank you so much for clarifying this process for me.

[@rdsmuts2313]

Thank you for your videos. They really help me understand this subject.

[@Edspira]

No problem. Take care!

[@sinethembasithebe3389]

God bless the work you do! You truly are a blessing😭😭😭😭😭

[@Edspira]

Thank you!

[@candy15861]

This channel just saved my school life

[@LifeisBeyondBeautiful]

Thank you for your lecture video. This is great! You made standard cost and variance analysis easy to understand. I am currently reviewing my knowledge regarding the topic for Philippine CPA Board Examinations. You've been very helpful. You’re great. You’re the best. God bless you. :)

[@Edspira]

Thank you for the kind words. I hope you pass your exam and go on to have a successful and happy career! Best wishes

[@sgAKAchina]

You are a very good teacher thank you very much!

[@DaisyNgobeni]

You made this very easy for me to understand,and it really makes perfect sense,thank you:)

[@Edspira]

Awesome. Best of luck to you!

[@ellierd6996]

always by our side! thank u

[@vineetvaishnav]

Where can I donate my First born? This is a life saver. Can we more videos on working capital management ?

[@andriipidstrela1251]

Wow that is really cool! Thank you, i hope you have here Job-Order costing and profit planning also. Amazing channel

[@bennaylor3674]

This channel has literally saved my ass for two different tests

[@antaraanika4481]

You make things so easy to understand. Hands down the best! You should upload more in youtube though

[@Edspira]

Thanks Antara! I'm working on more videos :)

[@khumalosthabisobongumusa6833]

may god bless this man

[@kemotraore4801]

Thank u for showing me how to solve any questions for Variances we need more examples I appreciate it

[@doomcloud3164]

I spent 3 hours reading this one chapter.. and this has clarified everything! Thank you!

[@Edspira]

Great...I'm glad this video helped you!

[@doomcloud3164]

Edspira I forwarded this video to my classmates to view before they tackled the assignment. Got positive reviews back. Thank you again!

[@GMATARO]

I wish you were my instructor! Thank you so much.

[@hounddog00]

Thanks for this great video!

[@tonygutierrez5779]

My teacher is very inconsistent with the terms and does not explain well, thank you you helped out a lot

[@kathy339]

My instructor tried explaining everything to us but classroom lectures isn't just my thing so yeah thanks for uploading this

[@damilareobadimu1272]

Wish i could swap you with my university lecturers. Very well explained. Thank you

[@thisisstevet]

Thank you for the video, much obliged for the explanation

[@chunpoyang1302]

I love this.

[@theresa78201]

Thank you!

[@dulcemy14195]

THANK YOU so much for make my life easier.

[@loganhu2623]

life savior right there 👌👌👌

[@asharamir7463]

Your the reason I'm passing accounting, Thanks man !!!

[@Edspira]

+Ashar Amir Thank you for the kind words-- but let me say that you are the one putting in the extra study hours to learn the concept, so all the credit goes to you! Have a great winter break :)

[@tab3791]

thank you very much, it helped me a lot...

[@haveanotherpinacolada]

Thanks! FINALLY! I get it.

[@taurus32_23]

Thanks a ton.Really great stuff :)

[@Edspira]

Tomis Alex No problem! Thank you for the kind words!!

[@jhuntijoymiraclebuizon8837]

Thank you so much. It helps a lot! God bless

[@Edspira]

I'm happy to help!

[@despinasibley8379]

Great explanation, thank you!

[@Edspira]

Glad it was helpful!

[@luvjj520]

thank you!

[@storiesmadeeasy4629]

Perfect , thanks alot .

[@jacinta3203]

Thank you.

[@simonbiliyock8345]

Thanks for this

[@doomcloud3164]

Wow, this is great! Thanks so much!

[@Edspira]

You're welcome. I'm happy to help!

[@Diskdrive000]

man all the popcorn experts are gonna go crazy over these numbers lol, all seriousness great vid extremely helpful l, thorough and clear throughout the vid

[@demo_shit3588]

I have an exam in 2 days, you saved my life

[@joubaw5329]

Thank you very much for this video! I do have request though, would you mind making a video on material mix and yield variances somewhere in the near future ? Keep up the good work! I can testify through experience about the value being added, through this channel, to the management accounting student community.

[@Edspira]

Thanks Wilhelm. I'll definitely consider your request when I'm making more videos this summer. Best of luck to you!

[@cariivm1948]

awesome videos!!! clear & good examples! thanks a lot!! gonna nail the exam (y)

[@Edspira]

Carii, I actually have an entire course on managerial accounting on my website (free-of-charge) in the event that you need any additional help. edspira.com/courses/managerial-accounting Thanks for watching and good luck on your exam!

[@cariivm1948]

Edspira so lovely! Thank you!!!

[@johnbouquet685]

this is amazing. thank you!

[@Edspira]

Glad you like it!

[@peertje3078]

Oh.. shoot :) even Edspira is a human sometimes! But your explanations are out of this world! Thank you.

[@danksouls132]

I have a quiz tomorrow on this. I learned nothing from the text book and class. You saved me.

[@Edspira]

Fantastic! I'm glad you learned the material for your exam.

[@austinkenyonmusic]

A godsend for real bro

[@joeturk8159]

“There’s a problem with the popcorn market” lol

[@gamingwithkev8208]

I definitely need to check out my text book and a few slides because I don't even know where to begin here yet..

[@DineshSharma-eb1ch]

Thank You!!!!!

[@Ousmain]

Lifesaver!

[@DaoWoW]

Hi Michael. This was really informative. In regards to the quantity variance, what if we had a standard quantity of 850 lbs budgeted? would we then use that number instead of the 825lbs (SQ @ Actual x SP)?

[@nicholaswalrod1214]

easy explanation thanks

[@Edspira]

Glad it helped!

[@wengcheong525]

Thanks a lot!! u just save my examination later!

[@Edspira]

Great! I'm happy to help.

[@failuressoul1033]

good channel💞

[@brendaj1265]

Thank you very much! :)

[@hamzehzare9972]

Thanks

[@cl8wnm5n]

You’re an inspiration

[@Edspira]

Thank you my friend!

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Edspira I’m an accounting major myself and I tutor both financial and managerial accounting myself. I wouldn’t be this passionate about accounting if it wasn’t for you. Thank you

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amazing love u man

[@alextherocker97]

thanks x

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thanks

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I didnt know that there was such an amazing story behind EdSpira. You really motivate me. I'm someone who wallows in depression and self-pity if I am having a bad day. Have loads to learn from u.

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Could I give this a gold star instead of just one like?

[@hunterhalvorson6223]

had to miss my lecture this was clutch

[@VinWatchYT]

You legend.

[@andreaalcid9266]

thankss

[@allentian3009]

close to the reality good !

[@laoiyah]

Wish I found this sooner! Studying for my CMA, and the gleim study materials are confusing as hell on this Unit. Thank you!

[@Edspira]

Thanks Iaoiyah. Good luck on the CMA exam!

[@africarib]

I'm studying too and these videos are making it so much easier. when are you planning on sitting?

[@shantaliesandra9743]

Do we put units on de variances

[@AmirulAriffinn]

can this be used in ACCA studies or is this a different standard?