A-Zone Media sells two models of e-readers. The budgeted price per unit for the wireless model is $192 and the budgeted price per unit for the wireless and cellular model is $416. The master budget called for sales of 10,000 wireless models and 2,500 wireless and cellular models during the current year. Actual results showed sales of 7,500 wireless models, with a price of $200 per unit, and 4,000 wireless and cellular models, with a price of $400 per unit. The standard variable cost per unit is $80 for a wireless model and $160 for a wireless and cellular model. Required: a. Compute the activity variance for these data.
Exercise 17-26 (Static) Sales Mix and Quantity Variances (LO 17-4)
A-Zone Media sells two models of e-readers. The budgeted price per unit for the wireless model is $192 and the budgeted price per unit for the wireless and cellular model is $416. The
Required:
a. Compute the activity variance for these data.
b. Compute the mix and quantity variance for these data.
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