Budget Variance
Budget Variance is the difference between the budgeted or baseline amount of expense or revenue, and the actual
Benefits
Knowing your budget variance helps manage money better. It shows where to cut costs or where there`s extra room.
Frequently Asked Questions
Is a budget variance the difference between the budgeted amount and the actual amount spent?
Yes, budget variance shows the difference between what was planned in the budget and what was actually spent or earned.
What is bridge round in startup?
A bridge round is not directly related to budget variance. It`s a type of funding meant to get a startup from one major investment round to the next.
How is budget variance calculated?
Budget variance is calculated by subtracting the budgeted amount from the actual amount. A positive number means you spent less, and a negative means more.
Key Takeaway
Budget variance is a key tool for financial health. It helps businesses understand their financial position and make smarter decisions.