A favorable volume variance for sales revenue would indicate that:
A)fewer units were actually sold than the company had anticipated.
B)the expenses of the company were less than what they had planned.
C)more units were actually sold than the company had originally budgeted to sell.
D)actual sales revenue was higher than the flexible budget sales revenue.

Question

Quizplus · Accepted Answer

A favorable volume variance for sales revenue would indicate that more units were actually sold than the company had originally budgeted to sell. This means that the company has exceeded their sales target, which can lead to increased profits and improved financial performance.

A Favorable Volume Variance for Sales Revenue Would Indicate That