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Clementine Company makes skateboards. They prepare master and flexible budgets and then perform variance analysis after the budget plan period elapses. Their data is as follows: Budget Actual Selling price
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25 votes
Clementine Company makes skateboards. They prepare master and flexible budgets and then perform variance analysis after the budget plan period elapses. Their data is as follows: Budget Actual Selling price per unit $96 $104 Variable cost per unit $52 $55 Quantity sold 996 1,024 What is the Clementine's volume variance for SALES? If the variance is unfavorable put a minus sign in front of your answer. Enter your answer without commas or decimals.

User Vladimir Fisher
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14 votes
14 votes

Answer:

See below

Step-by-step explanation:

Sales volume variance is the difference between Budgeted quantity and actual quantity sold, multiplied by the standard profit margin. Standard profit margin is the excess of Budgeted selling price over actual selling price

Therefore,

Clementine's sales volume variance

= (BQ - AQS) × Standard profit margin

= (996 - 1,024) × ($96 - $52)

= -28 × -$44

= $1,232 F

User Aakash Daga
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3.0k points
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