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Definition of Variance Report
A Variance Report is created for the purpose of figuring out the difference between planned financial outcomes (as in the ‘Budget’) and the actual financial outcomes (called the ‘Actual’). Variance can be defined as this difference between the Budget and the Actual. Variance is often calculated in percentage since it helps to understand the relative size of the Variance. While calculating the Variance, the amount should always be divided into budget and not by Actual.
How to Prepare a Variance Report?
Variance Percentage (%) = [Variance/Budget] X 100
With this final step, your Variance Report for any kind of Budget is prepared. These steps, however, may be time-consuming since they consist of a number of calculations which needs to be absolutely accurate. A small mistake in these calculations can ruin your entire assignment. But not to worry! Our Variance Reporting Assignment Help team will take care of everything for you!
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