Asked by: Ghiorghe Belkovasked in category: General Last Updated: 25th March, 2020
What is volume of production?
Also question is, how do you calculate production volume?
It compares the actual overhead costs per unit that were achieved to the expected or budgeted cost per item. The formula for production volume variance is as follows: Production volume variance = (actual units produced - budgeted production units) x budgeted overhead rate per unit.
Subsequently, question is, what is low volume production? Low volume production means different things to different people. For us it usually translates into delivery quantities that are (usually) less than 1,000 per month. This is just a guideline. It depends on the part size, its geometry, and other factors.
Moreover, what are the factors that determine the volume of production?
There are various factors which affect the volume of production which includes:
- Availability of natural resources.
- Availability of raw materials.
- Availability of capital.
- Transport facilities.
- Political conditions.
- Efficiency of people.
What is annual volume?
Annual Volume means the minimum volume of Product to be manufactured in any Year of this Agreement as set forth in Schedule B; THIS EXHIBIT HAS BEEN REDACTED AND IS THE SUBJECT OF A CONFIDENTIAL TREATMENT REQUEST.