Variance (Investing Activities)

The Variance in Investment calculator computes the difference (variance) in the investment amounts between two periods. 

INSTRUCTIONS: Choose your preferred currency units and enter the following:

• (T) This is the Investment amount in this period.
• (L) This is the Investment amount in the last period.

Investment Variance: The calculator returns the difference in investment (variance) in U.S. dollars.  However this can be automatically converted to other currency units via the pull-down menu.

In budgeting (or management accounting in general), a variance is the difference between a budgeted, planned or standard cost and the actual amount incurred/sold. Variances can be computed for both costs, revenues and investments between periods.

Resource:

• Dopson, Lea R., and David K. Hayes. Managerial Accounting for the Hospitality Industry. Hoboken, NJ: Wiley, 2009. Print.