Variance Options in Reports

Only applies to File Summary and Crosstabulation Analyses.

File Summary Reports may include period totals together with variances and % variances between selected files as below:

Note: the calculation of variances here is totally dependent on the order in which files are selected and not on the years of the files concerned.

Volume/Price/Exchange Variances Analyses

It is often useful to explain variances in of sales between two or more files by splitting total variances into the volume price, exchange and new product contributions. When IFP calculates variances between values in file A against those in file B, the following basic variance calculations are carried out:

Volume   = (File A units – File B units) * File B price
Price    = File A units * (File A price - File B price)
Exchange = File A value @ File A rates - File A value @ File B rates

The above calculation is carried out for each month within the selected analysis period and the results summed to give the total for each variance component.

Please also see related articles:

Volume, Price & Exchange Variance Analysis
Month & YTD Variance Analysis for Units, Value & ASP
Volume, Price & Exchange Variance Currency Conversions