Question Details

What is the total sales-quantity variance 



THE FOLLOWING INFORMATION APPLIES TO QUESTIONS 1 THROUGH 4.
The XTRA Appliance Manufacturing Corporation manufactures two vacuum cleaners, the Standard and the Super. The following information was gathered about the two products:

				Standard	Super
	Budgeted sales in units	3,200	800
	Budgeted selling price	$300	$850
	Budgeted contribution margin per unit	$210	$550
	Actual sales in units	3,500	1,500
	Actual selling price	$325	$840

1.	What is the budgeted sales-mix percentage for the Standard and the Super vacuum cleaners, respectively?
	a.	0.80 and 0.20
	b.	0.70 and 0.30
	c.	0.20 and 0.80
	d.	0.30 and 0.70
	
2.	What is the total sales-volume variance in terms of the contribution margin?
	a.	$108,000 unfavorable
	b.	$108,000 favorable
	c.	$278,000 favorable
	d.	$448,000 favorable

3.	What is the total sales-quantity variance in terms of the contribution margin?
	a.	$110,000 favorable
	b.	$170,000 favorable
	c.	$278,000 favorable
	d.	$448,000 favorable

4.	What is the total sales-mix variance in terms of the contribution margin?
	a.	$110,000 favorable
	b.	$170,000 favorable
	c.	$278,000 favorable
	d.	$448,000 favorable





Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help