Price Purchase Variance is a term used in the business world to describe the difference between the actual cost of purchasing an item and the expected cost of purchasing the same item. This is usually calculated as the difference between the budgeted cost of the item and the actual cost of the item purchased. The Price Purchase Variance is an important aspect of cost control and budgeting, as it highlights when an item has been purchased for more than the expected amount. This can then be used to inform future purchasing decisions to ensure that the most cost-effective options are chosen. As well as highlighting potential overspending, the Price Purchase Variance can also be used to identify potential savings that could be made. By taking into account the price purchase variance, businesses can ensure that their budget is being spent as efficiently as possible. This is why understanding and monitoring the price purchase variance is an important part of any