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PPV can be either favorable or unfavorable and may be tracked for specific time periods (monthly, quarterly, yearly). It is often reported in terms of total procurement spend. Purchase price variance is an important metric for。

The actual cost may have been taken from an inventory layering system, such as a first-in first-out system, where the actual cost varies from the curppv inventory meaningrent market price by a。

Read more: Cost Variance: Definition, Formula and Examples Why is PPV important? Most manufacturers agree that raw materiappv inventory meaningls take up most of their running costs,。

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