Direct Labor Variances

This video demonstrates a diagrammatic method of separating causes of variance and their attribution using the case of Frank's Bikes. Frank has fixed amounts of labor, which is a slight twist on the case of Jerry's Ice Cream, which had a variable amount of labor. Small and large companies differ in how they manage their labor supply, as do companies with one product compared to companies with many products.


Source: Tony Bell
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Last modified: Thursday, January 4, 2024, 11:47 AM