Question

f the market-size variance is $400U and the sales-mix variance is $700F, and the market share...

f the market-size variance is $400U and the sales-mix variance is $700F, and the market share variance is $300F, we know that which of the following is TRUE?

The sales-quantity variance is $100F.

The sales quantity variance is $700U

The sales-volume variance is $600F

The static budget variance is $600F

Homework Answers

Answer #1
Ans. Option 3rd   The sales volume variance is $600 F
*Calculation of sales quantity variance :
Sales quantity variance = Market size variance + Market share variance
-$400 + $300
-$100    or   $100 unfavorable
*Calculations for Sales volume variance :
Sales volume variance = Sales quantity variance + Sales mix variance
-$100 + $700
$600 favorable
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Contribution Margin Variance, Contribution Margin Volume Variance, Market Share Variance, Market Size Variance Sulert, Inc., produces...
Contribution Margin Variance, Contribution Margin Volume Variance, Market Share Variance, Market Size Variance Sulert, Inc., produces and sells gel-filled ice packs. Sulert’s performance report for April follows: Actual Budgeted Units sold 290,000 300,000 Sales $1,450,000 $1,515,000 Variable costs 652,500 636,300   Contribution margin $ 797,500 $ 878,700 Market size (in units) 1,250,000 1,200,000 Required: 2. Calculate the market share variance and the market size variance. In your computations, round the unit contribution margin to three decimal places and round the market...
The Chair company manufactures two modular types of chairs, one for the residential market, and the...
The Chair company manufactures two modular types of chairs, one for the residential market, and the other for the office market. Budgeted and actual operating data for the year 2015 are: Static Budget Residential Office Total Number of Chairs 260 140 400 Contribution margin $26,000 $11,200 $37,200 Actual Results Residential Office Total Number of Chairs 252 168 420 Contribution Margin $22,356 $13,248 $35,604 a. Compute the total static budget variance, the total flexible-budget variance and the total sales-volume variance. b....
At the beginning of the sales cycle, Apple had projected a 40% share of the phone...
At the beginning of the sales cycle, Apple had projected a 40% share of the phone market that is estimated at 23 million units. Apple expected to sell 3 units of its Pro model for every 5 units of its Base model. At the end of the sales cycle, Apple’s market share turned out to be 39% while the market-wide sales came in at 24 million units. Actual sales for Apple were equally split between the Pro model and the...
3. The Omega Corporation manufactures two types of vacuum cleaners: the ZENITH for commercial building use...
3. The Omega Corporation manufactures two types of vacuum cleaners: the ZENITH for commercial building use and the House-Helper for residences. Budgeted and actual operating data for the year 2018 are as follows: Static Budget ZENITH House-Helper Total Number sold 15,000 60,000 75,000 Contribution margin $3,750,000 $12,000,000 $15,750,000 Actual Results ZENITH House-Helper Total Number sold 16,500 38,500 55,000 Contribution margin $6,200,000 $10,200,000 $16,400,000 Assume that Omega Corporation operates in Midwest market. The total Midwest market is expected to be 500,000...
Requirements: Compute the following: Total direct materials price variance The direct materials mix variance The direct...
Requirements: Compute the following: Total direct materials price variance The direct materials mix variance The direct materials yield variance Mix and Yield Variances Rizzo’s Fish Market Seafood produces cans of seafood mix. The ingredients for each can are crab, shrimp, and oysters. To produce one batch of seafood mix weighing 200 Lbs., the following standard quantities, mix, and prices of these ingredients are needed: Types of Materials Standard Quantity (Lbs.) Standard Mix Standard Price Crab 60 30.00% $                      7.20 $       ...
You are given the following static budget report: Budget            Actual              Variance Unit Sales  &nbsp
You are given the following static budget report: Budget            Actual              Variance Unit Sales                                           10,000               15,000             5,000 F Variable Expenses:     Commissions                                  $30,000 $33,000 $3,000 U     Advertising                                      $1,000 $1,200 $200 U     Travel                                              $10,000 $11,000 $1,000 U     Samples                                          $2,500 $2,300 $200 F Total Variable                                     $43,500 47,500 $4,000 U Fixed Expenses     Rent                                                 $5,000 $5,000 0     Salaries – Sales                               $2,000 $2,000 0     Salaries – Office                              $1,200 $1,200 0     Depreciation                                    $1,500 $1,500 0 Total Fixed                                          $9,700 $9,700             0 Total Expenses $53,200 $57,200 $4,000 U Prepare a flexible budget analysis and explain whether you believe that costs were controlled.  How do the results of...
As the new accountant for Cohen & Co., you have been asked to provide a succinct...
As the new accountant for Cohen & Co., you have been asked to provide a succinct analysis of financial performance for the year just ended. You obtain the following information that pertains to the company’s sole product: Actual Master (Static) Budget Units sold 35,000 40,000 Sales $ 384,000 $ 470,000 Variable costs 214,000 278,000 Fixed costs 137,000 135,000 Required: 1. What was the actual operating income for the period? 2. What was the company’s master (static) budget operating income for...
Which of the following income statement items is analyzed using the sales mix and the sales...
Which of the following income statement items is analyzed using the sales mix and the sales quantity variances? Multiple Choice Gross margin. Operating expenses. Cost of goods sold. Contribution margin.
As the new accountant for Cohen & Co., you have been asked to provide a succinct...
As the new accountant for Cohen & Co., you have been asked to provide a succinct analysis of financial performance for the year just ended. You obtain the following information that pertains to the company’s sole product: Actual Master (Static) Budget Units sold 35,000 40,000 Sales $ 396,000 $ 453,000 Variable costs 226,000 273,000 Fixed costs 150,500 138,000 Required: 1. What was the actual operating income for the period? 2. What was the company’s master (static) budget operating income for...
How did you calculate the number found in (Budget sales mix) for the sale 13,559,407 and...
How did you calculate the number found in (Budget sales mix) for the sale 13,559,407 and 0 and 1,562,669? Thank you I NEED TO SEE THE CALCULATION Berkshire Toy Company Statement of Operating Income for the Year Ended June 30, 1998 Actual Master Budget Master Budget Variance F/ U Flexible Budget Flexible Budget Variance   F/ U Units sold           325,556           280,000            45,556 F                 325,556 Retail and catalog in units     174,965        8,573,285      11,662,000       3,088,715...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT