| Predetermined Overhead Rate (POR) | Estimated Overhead Costs/Estimated Activity Base |
| Overhead Applied | Predetermined Overhead Rate x Actual Amount of the Activity Base for the Period |
| Direct Materials Used | Raw Materials Inventory (Beg) + Raw Material Purchases - Raw Materials Inventory (End) |
| Cost of Goods Manufactured | (WIP (beg) + Total Manufacturing Costs) - WIP (end) |
| Total Manufacturing Costs | Direct Materials + Direct Labor + Manufacturing Overhead |
| Unadjusted Cost of Goods Sold | Beg Finished Goods Inventory + Cost of Goods Manufactured - Ending Finished Goods Inventory |
| Adjusting Cost of Goods Sold | COGS +/- the over/under applied overhead |
| Weighted Average Equivalent Units of Production (EUP) | Units Completed and Transferred Out + EUP in Ending WIP Inventory |
| Weighted Average Cost per EUP (Equivalent Units of Production) | (Costs in Beg. WIP Inventory + Costs Added During the Period) / EUP |
| Contribution Margin per Unit (CMU) | Sales Price per Unit - Variable Cost per Unit |
| Contribution Margin Ratio (CMR) | Contribution Margin per Unit / Sales Price per Unit |
| Breakeven Point in Dollars | Fixed Costs / Contribution Margin Ratio |
| Breakeven Point in Units | Fixed Costs / Contribution Margin Ratio |
| Margin of Safety in Dollars | Total Budgeted (or Actual) Sales - Break Even Sales |
| Degree of Operating Leverage | Contribution Margin / Net Operating Income |
| Percentage Change in Net Operating Income | Degree of Operating Leverage x Percentage Change in Sales |
| Labor Rate Variance | Actual Hours ( Actual Rate - Standard Rate) |
| Labor Efficiency Variance | Standard Rate (Actual Hours - Standard Hours) |
| Variable Overhead Rate Variance | Actual Hours (Actual Rate - Standard Rate) |
| Variable Overhead Efficiency Variance | Standard Rate (Actual Hours - Standard Hours) |
| Materials Price Variance | Actual Quantity (Actual Price - Standard Price) |
| Materials Quantity Variance | Standard Price (Actual Quantity - Standard Quantity) |
| Return on Investment (ROI) | Net Operating Income / Average Operating Assets |
| Turnover | Sales / Average Operating Assets |
| Margin | Net Operating Income / Sales |
