Santini Shoe Company had the following data for its Women's shoes and Men's shoes for the last quarter:
What is the Total Sales Mix Variance for Santini Shoe Company for last quarter?
A) $ 884 favorable
B) $ 884 unfavorable
C) $2,208 favorable
D) $ 2,208 unfavorable

Question

Santini Shoe Company had the following data for its Women's shoes and Men's shoes for the last quarter:
 What is the Total Sales Mix Variance for Santini Shoe Company for last quarter?
A) $ 884 favorable 
B) $ 884 unfavorable 
C) $2,208 favorable 
D) $ 2,208 unfavorable

Quizplus · Accepted Answer

Total Sales Mix Variance = Sales Mix Variance of Women's Shoes + Sales Mix Variance of Men's Shoes = [(Actual Sales Mix of Women's Shoes - Budgeted Sales Mix of Women's Shoes) x Actual Volume of all products sold x Budgeted Unit CM Women's] + [(Actual Sales Mix of Men's Shoes - Budgeted Sales Mix of Men's Shoes) x Actual Volume of all products sold x Budgeted Unit CM Men's]; [{1,800/ (1,800 + 1,400) - 1,500 / (1,500 + 1,200)} x 3,200 x $30] + [{1,400/ (1,800 + 1,400) - 1,200 / (1,500 + 1,200)} x 3,200 x $70] = [(.5625 - .5556) x 3,200 x $30] + [(.4375 - .4444) x 3,200 x $70] = $662 + (-1,546) = $884 unfavorable

Santini Shoe Company Had the Following Data for Its Women's