Question

Milltown Company specializes in selling used cars. During the month, the dealership sold 25 cars at an average price of $15,300 each. The budget for the month was to sell 23 cars at an average price of $16,300. Compute the dealership's sales price variance for the month.

Multiple Choice

• $25,000 unfavorable.

• $10,300 favorable.

• $25,000 favorable.

• $32,600 unfavorable.

• $32,600 favorable.
  

  Claremont Company sells refurbished copiers. During the month, the company sold 185 copiers for total sales of $573,500. The budget for the month was to sell 180 copiers at an average price of $3,300. The sales price variance for the month was:

  Multiple Choice

• $20,500 unfavorable.

• $20,500 favorable.

• $37,000 unfavorable.

• $33,000 unfavorable.

• $37,000 favorable.

Answer 1