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Titanium Company has the following information about its sales variances for the month of May.

Sales price variance$250 F
Sales volume variance$300 U
Market share variance$125 F
The overall sales variance for Titanium Company is?

User Reddy
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Final answer:

The overall sales variance for Titanium Company for May is calculated by adding favorable variances and subtracting unfavorable variances. It equals $75 Favorable, meaning that the company performed $75 better than what was budgeted.

Step-by-step explanation:

The overall sales variance for Titanium Company for the month of May can be calculated by combining the individual variance components:

  • Sales price variance: $250 F
  • Sales volume variance: $300 U (Unfavorable)
  • Market share variance: $125 F

To find the overall sales variance, we add the favorable variances and subtract the unfavorable variances. In this case, it would be: $250 F + $125 F - $300 U = $75 F (Favorable). This means that overall, Titanium Company's sales variances indicate that it performed $75 better than expected.

User TheGameiswar
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