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**AQA BUSS 2 4th June Revision thread**

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I got an adverse variance of 80900 :/

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Original post by needtosucceed=)
I got 80.9 too I'm not sure how people got 150 :/

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Yeah i got that too!


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whatever I way I worked it out I had 154500 adverse, then I did it again and got 80900. I wrote it as 80.9 adverse though :/

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Original post by Jake_Babydee
whatever I way I worked it out I had 154500 adverse, then I did it again and got 80900. I wrote it as 80.9 adverse though :/

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Yeah hahaa i got that too


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haha I better do well in this exam lol this is my second time doing it! :frown: buss3 next week and then buss4.. I'm so stressed lol

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Reply 405
Variance analysis

Budgeted - Actual = variance

Budgeted = 117700 profit

Actual = -36800 profit

117700 F - 36800 A = 80900 Adverse

The profit for that year was £80900 less than the budgeted amount of 117700

You add all the F's and subtract the A's to get the variance, the use of negative numbers is confusing!

This is how I answered the question, please can someone tell me where I went wrong :smile:
Original post by sbtrkt1
Variance analysis

Budgeted - Actual = variance

Budgeted = 117700 profit

Actual = -36800 profit

117700 F - 36800 A = 80900 Adverse

The profit for that year was £80900 less than the budgeted amount of 117700

You add all the F's and subtract the A's to get the variance, the use of negative numbers is confusing!

This is how I answered the question, please can someone tell me where I went wrong :smile:


Amen!
Sounds right to me


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Reply 407
Original post by Brandon_RNS
Amen!
Sounds right to me


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Ah no it is wrong,

If they made -£36000 profit

and they budgeted £117000

then £36000 would be needed to get to £0 profit

and then a further £117000 to get to the budgeted.

36000+117000=153000A :frown:
(edited 10 years ago)
if they budgeted 117000 and achieved 36000 then the variance would be 80000 adverse because it was lower than expected?
Original post by Jake_Babydee
if they budgeted 117000 and achieved 36000 then the variance would be 80000 adverse because it was lower than expected?


They didn't achieve 36000 profit, they made a loss of 36000. You got a negative figure when you worked out the actual profit, but it wasn't a profit it was a loss

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Reply 410
Original post by needtosucceed=)
They didn't achieve 36000 profit, they made a loss of 36000. You got a negative figure when you worked out the actual profit, but it wasn't a profit it was a loss

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Yeah spot on. The mistake most people made was thinking the firm was making a profit whereas they were actually making a loss. So therefore the budgeted figure minus that loss should give you 153/154 (000s) something adverse profit variance
(edited 10 years ago)
Reply 411
No you have done budget-actual, it is budget-- (minus, minus) actual which is a plus. So technically you're saying they have an actual of 36 or whatever it is, not -36. The difference between the actual and the budget is 154500 adverse
Original post by iAhmedd
Yeah spot on. The mistake most people made was thinking the firm was making a profit whereas they were actually making a loss. So therefore the budgeted figure minus that loss should give you 153/154 (000s) something adverse profit variance


I knew they made a loss but I didnt think of looking at the figures properly to see if it made sense lol. ah well hopefully done better on the other questions!
Original post by Brandon_RNS
Yeah i got that too!


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it was wrong though :/ i reckon we'll get 4/6
Reply 414
Guys how do everyone think about their exam? Anyone know about the grade boundaries? For me, I don't think I did good on this one. So many messed up answer I wrote. :frown: feel really bad!


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I'm pretty sure it was 154,500
The real profit was like -30,000 or something so they made a loss and they budget to make around 120,000 so the variance was (154,500)
I'm pretty sure this was correct, quite tricky for a calculation question!


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Reply 416
Original post by yuvalpesh
I'm pretty sure it was 154,500
The real profit was like -30,000 or something so they made a loss and they budget to make around 120,000 so the variance was (154,500)
I'm pretty sure this was correct, quite tricky for a calculation question!


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Yeah it got everyone, but I guess we will have to wait and see :P
Reply 417
Original post by May-o2q
Guys how do everyone think about their exam? Anyone know about the grade boundaries? For me, I don't think I did good on this one. So many messed up answer I wrote. :frown: feel really bad!


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In my opinion I reckon around the 50's for an A, the paper felt average, not the best, hence why the case study lacked detail in question 2.
Reply 418
Original post by j0shyouare
Yes, and then wrote that it could decrease quality if production is rushed however..


I also put that, as the employees would focus on the amount of products made rather than the quality of them
Reply 419
Original post by Jake_Babydee
haha I better do well in this exam lol this is my second time doing it! :frown: buss3 next week and then buss4.. I'm so stressed lol

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hey dont stress out.. it was my third time doing this exam and i also have buss4 on the 20th prepared?

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