Composites, Fiberglass & Advanced Materials calculator
Advanced Material Price Variance Calculator
Compare the actual price with the standard you set, multiply the difference by the quantity and included share, then add any fixed freight or tariff variance. A negative total is favorable because the material came in below standard.
What this calculator does
- Price variance on advanced material from standard and actual prices, with the favorable or unfavorable total against the standard.
Formula used
- Variance per pound = actual price − standard price
- Variable price variance = variance per pound × purchased quantity × included share ÷ 100
- Total price variance = variable price variance + fixed freight or tariff variance
- Variance versus standard = variance per pound ÷ standard price × 100
Inputs explained
- Purchased Quantity: Pounds bought at the actual price this period.
- Standard Price: Standard or budget price per pound for the material.
- Actual Price: Price actually paid per pound, from the invoice.
- Scope Included: Share of the purchase this variance covers.
- Fixed Freight or Tariff Variance: Freight, tariff or surcharge variance not per pound.
How to use the result
- Best suited to explaining a buy above standard, splitting price from freight variance.
- Price variance excludes usage and mix effects, which other pages cover. The percent row is blank when the standard price is zero.
Current U.S. benchmarks
- The producer price index for plastic resins and materials stands at 280.569 (BLS, Aug 2026), up 6.6% from a year earlier. Quotes priced off last quarter's material cost miss this move.
- Steel mill PPI stands at 381.162 (BLS, Aug 2026), up 23.4% from a year earlier. New factory orders are up 8.5% year over year (Census).
Common questions
- What makes a price variance favorable? Paying less than the standard price. At the defaults the actual price is $7.40 over the $61.40 standard, so the total variance of $3,848 is unfavorable.
- Does the fixed variance change with quantity? No. Freight, tariffs and surcharges enter as a fixed amount, while the per-pound difference scales with quantity and the included share.
- Why is the variance versus standard row blank sometimes? It divides by the standard price. When the standard is zero the row is left blank with an explanation, because a percent against zero has no meaning.
- Should purchase price variance include freight? Put the price difference in the per-pound fields and any freight, tariff or surcharge variance in the fixed field, so the total covers the full delivered cost.
Last reviewed 2026-10-01.