Course: Revenue and Margin Analysis

Author: Joseph P. Helstrom, CPA

Course ID: AACMCRMA

CPE Hours: 2

Format: PDF

Course Description
The comparison of actual revenue or margin amounts to either budget or prior year results will generally result in a variance.  This course demonstrates mathematical formulas to compute the amount of that variance that is attributable to pricing decisions, unit volume and product mix.  In the case of margin variances, the calculation for product cost is an additional component.  This method is an important tool to clearly and concisely explain revenue and margin variances to marketing, operations and executive personnel.  Specific topics covered are the calculation of the price, volume, mix and cost components as well as an explanation of the concept of product mix.  Applicable to CPA’s working in the manufacturing or distribution industry as well as CPA’s in public accounting who serve these industries.    

Price: $18.00

Delivery: Internet/Interactive

NASBA Category: Accounting

Learning Objective

• An overall understanding of revenue and margin analysis
• The ability to compute the price variance component at the revenue and margin levels
• The ability to compute the volume variance component at the revenue and margin levels
• An understanding of product mix
• The ability to compute the product mix variance component at the revenue and margin levels
• The ability to compute the product cost variance component at the margin level
• Comparing revenue and margins to budgeted and prior year results using price, volume, mix, cost formats

Level:Overview
Applicable to CPA’s working in the manufacturing or distribution industry as well as CPA’s in public accounting who serve these industries


Prerequisites:None

Updated/Revised: July 2011