Percentage Sales Variance v2

The Sales Variance Percentage calculator computes the percentage that represents the variance (V) in sales divided by the total (LS) in sales in the previous period (e.g. last year).

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

• (V)  This is the variance or change in sales from this period to the last.
• (LS) This is the total sales for the last period.

% Variance in Sales: The calculator returns the percent change represented by the variance compared to the total sales from the last period.

Related Calculators:

• To compute the Percent Sales Variance from this period and last period, CLICK HERE.
• To compute the raw Sales Variance between this period and last period, CLICK HERE.

The Math / Science

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 and revenues. This equation shows the percentage of variance in relation to sales.  For example, if the change in sales, also known as Sales Variance (V) is negative $15,000 and the total sales in the last period is $1,500,000, the % Variance in Sales is -1% as follows:

`"PVS" = V/(LS) = (-$15,000)/($1,500,000) = -1%`

Resource:

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