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The Static Budget,at the Beginning of the Month,for Beacon Banner

Question 26

Multiple Choice

The static budget,at the beginning of the month,for Beacon Banner Company follows: Static budget:
Sales volume: 1100 units; Sales price: $70.00 per unit
Variable costs: $33.00 per unit; Fixed costs: $37,800 per month
Operating income: $2900
Actual results,at the end of the month,follows:
Actual results:
Sales volume: 995 units; Sales price: $75.00 per unit
Variable costs: $35.00 per unit; Fixed costs: $35,000 per month
Operating income: $4800
Calculate the sales volume variance for revenue.


A) $2800 U
B) $7350 U
C) $3885 U
D) $4975 F

Correct Answer:

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