Split a euro cost variance into spend and exchange rate effects

About this exercise

You're explaining a euro cost variance in US dollars for the finance director. Write a prompt for plain text with lines starting "Budget:", "Actual:", "Spend effect:", "Rate effect:" and "Check:". Spend effect uses the budget rate on the euro difference. Rate effect uses actual euros times the rate difference. Show the math. The Check line proves the two effects add to the dollar variance. Label each effect favorable or unfavorable. Under 110 words.

Common mistakes when you ask AI for this

• Using the spot rate. The AI translates at $1.07. Try: Say: "Use the budget rate and the average Q4 rate only."
• Wrong rate base. The AI multiplies the rate gap by budget euros. Try: Add: "Rate effect uses actual euros."
• No tie-out. The AI never proves the pieces add up. Try: Add: "A Check line: effects sum to the dollar variance."
• Missing labels. The AI gives signs without saying favorable or unfavorable. Try: Add: "Label each effect favorable or unfavorable."
• Markdown extras. The AI adds bold labels, headings and a closing note. Try: Say: "Plain text, no bold. Output only the lines asked for."
• Trusting the AI to count words. AI is bad at counting and runs past word limits. Try: Ask for fewer words than the real cap and keep each part short.

What a strong prompt includes

• Names the five lines
• Defines both effects
• Asks for labels
• Excludes spot
• Caps length

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