Explanation of income variations
separate changes by quantity and price through a reconciled bridge.
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Recognize the problem
Three signals that the current approach is costing clarity.
Is the convention maintained throughout the bridge?
Are there any new products that require their own category?
Are we calling a mixing effect "pure volume"?
Practical outcome
separate changes by quantity and price through a reconciled bridge.
What is included
The working pieces, connected.
Minimum scope
Guía PDF, registro editable, caso ficticio resuelto y memo de decisión.
Safe preview
Previously, 100 units were sold at US$10 and 50 at US$20: US$2,000. Now, 120 are sold at US$11 and 40 at US$22: US$2,200. Quantity effect per product: 20 × 10 − 10 × 20 = US$0. Price effect with current quantities: 120 × 1 + 40 × 2 = US$200. Both effects add up to a variation of US$200. The total number of units increases, but the change in composition counteracts its effect on the previous price.
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How it works
From context to a reviewable output.
- 1
Define the context and decision.
- 2
Complete the required inputs.
- 3
Produce a first working version.
- 4
Review, validate and adapt.
This is for
For managers who need to explain results compared to the previous period.
This is not for
Those who expect automatic decisions or guaranteed business results.
Method and limits
Useful when judgment stays in the loop.
Methodology and author
Compare quantities and prices per product. Use a fixed breakdown and clearly state its convention: quantity effect with previous price, and price effect with current quantity. If you want to separate mix and aggregate volume, do so in a second analysis with comparable categories. Do not call an effect that includes a change in mix "pure volume." Designed and signed by Julio Alonzo.
Requirements and limitations
Incorporate new or discontinued products into separate categories. Standardize currency, returns, and the period before comparison.
Cutoff date: 2026-09-30
FAQ
Before purchasing.
Answers derived from the product file and its commercial kit.
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$49
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