how to calculate total payroll cost during a variance analysis?

Budget Actual Budget Variance Formula: Actual budget - Budgeted budget = Budget Variance Patient Days 420 510 90 ho Nursing Care Hours 420 Patient days x 5 HPPD = 510 patient days x 5.6 HPPD = 756 2100 2856 ory 2100 / 420 = 5 HPPD 5.0 5.6 0.6 Average $35.00 $45.00 $10.00 Hourly Pay 178 Total Payroll 55 020 Costs (Table adapted from: Rundio, A. (2016). The nurse manager's guide to budgeting and finance, 2nd. Ed, Indianapolis, IN: Sigma Theta Tau International) 2. Calculate each of the following. Include the formulas used with reference. Remember, as this monthly report deals with payroll, the variances should be in dollars. a. Volume (efficiency) variance: Formula: Nursing Care Hours / Patient Days = HPPD 2100 / 420 = 5.0 Budget HPPD 2856 / 510 = 5.6 Actual HPPD : Budgeted HPPD - Actual HPPD = Average Extra Nursing Care Hours