YIELD VARIANCE Definition

Bookmark and Share

YIELD VARIANCE is the effect of varying the total input of a factor of production; e.g., direct materials or labor; while holding constant the input mix, i.e. the proportions of the types of materials or labor utilized, and the weighted average unit price of the factor of production.

Learn new Accounting Terms

SALES MULTIPLE is the most widely used valuation benchmark used in the valuation of a business. The information needed are annual sales and an industry multiplier, which is usually a range of .25 to 1 or higher. The industry multiplier can be found in various financial publications, as well as analyzing sales of comparable businesses. This method is easy to understand and use. The sales multiple is often used as the valuation benchmark.

INCOME is the amount of money or its equivalent received during a period of time in exchange for labor or services, from the sale of goods or property, or as profit from financial investments.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.