The sales-mix variance will be unfavorable when which of the following occurs?
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A) the actual sales mix shifts toward the less profitable units |
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B) the contribution margin per composite unit for the actual mix is greater than the budgeted mix |
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C) the actual unit sales are less than the budgeted unit sales |
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D) the actual contribution margin is less than the static-budget contribution margin |
Answer :- A) the actual sales mix shifts toward the less profitable units
The sales-mix variance will be unfavorable when "the actual sales mix shifts toward the less profitable units".
Sales mix Variance= Sales mix variance measures the change in profit or contribution attributable to the variation in the proportion of the different products from the standard mix.
So the correct answer is option A. If you still have any query ask in comment section. Thanks
The sales-mix variance will be unfavorable when which of the following occurs? A) the actual sales...
Master Master Budget Variance Actual 60,500 Budget 57,000 Sales volume (number of cases sold) Sales revenue Less: Variable expenses Contribution margin Less: Fixed expenses $ 193,700 $ 71,200 176,700 62,700 $ 122,500 $ 73,200 114,000 72,000 $ 49,300 $ 42,000 Operating income The budgeted sales price per unit is $ 3.10 Requirement 2. What is the budgeted variable expense per unit? The budgeted variable expense per unit is $ 1.10. Requirement 3. What is the budgeted fixed cost for the...
3.The following information is for Eucha Corp. for the first quarter of the current fiscal year: Actual Results Static Budget Unit sales: Product X 15,000 40,000 Product Y 65,000 60,000 Total 80,000 100,000 Contribution margin per unit: Product X $4 $5 Product Y $3 $2 The sales-mix variance for both products together is: a. $51,000 unfavorable. b. $64,000 unfavorahle Product X $4 $5 Product Y $3 $2 The sales-mix variance for both products together is a. $51,000 unfavorable. b. $64,000...
answer all
37) The sales volume variance is the difference between the 37) Aj expected results in the flexible budget for the actual units sold and the static budget B) static budget and actual amounts due to differences in sales price C) flexible budget and static budget due to differences in fixed costs D) actual results and the expected results in the flexible budget for the actual units sold 38) 39) The static budget, at the beginning of the month,...
The actual contribution margin per unit will impact the
following sales variance:
A. Market-size variance
B. Sales-quantity variance
C. Market-share variance
D. Flexible-budget variance
The actual contribution margin per unit will impact the following sales variance: O A. Market-size variance OB. Sales-quantity variance OC. Market-share variance OD. Flexible-budget variance
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A favorable cost variance occurs when Oa. actual costs are the same as standard costs Ob. actual costs are more than standard costs Oc. standard costs are more than actual costs Od. standard costs are less than actual costs The Flapjack Corporation had 8,042 actual direct labor hours at an actual rate of $12.00 per hour. Original production had been budgeted for 1,100 units, but only 999 units were actually produced. Labor standards were 7.9...
An unfavorable materials quantity variance occurs when the actual quantity used in production is less than the standard quantity allowed for the actual output of the period. True or False
How can the concept of a composite unit be used to explain why an unfavorable total sales-mix variance of contribution margin occurs?
How can the concept of a composite unit be used to explain why an unfavorable total sales-mix variance of contribution margin occurs?
How can the concept of a composite unit be used to explain why an unfavorable total sales-mix variance of contribution margin occurs?