What this calculator does
Direct material price variance works out whether materials cost more or less than the standard (budgeted) rate. Enter your own figures above and the answer updates as you type: nothing is fixed in the code, so the result reflects exactly the numbers you supply.
The formula this calculator evaluates is printed under the tool and explained below, so you can check the working by hand or reuse it in a spreadsheet.
The formula
FormulaPrice variance = (Actual price − Standard price) × Actual quantity purchased
The inputs explained
| Field | What to enter |
|---|---|
| Actual price per unit ($) | A number, measured in your currency. Starts at 4.2. |
| Standard price per unit ($) | A number, measured in your currency. Starts at 4. |
| Actual quantity purchased (units) | A number, measured in units. Starts at 10000. |
Worked examples
Every figure in the tables below is produced by this page’s own calculator at build time, so the numbers and the tool always agree. Select any row to load that scenario.
How the answer changes with actual price per unit
Every other input is held at the calculator’s starting values while actual price per unit varies. Select any row to load that scenario into the calculator.
How the answer changes with actual price per unit