Appliance Manufacturing Galaxy Corporation manufactures two types of air purifiers, the Basic and the Premium. The following information was gathered about the two products: Budgeted Sales (units) Basic Premium 4,500 2,500 $400 $900 Budgeted Selling Price Budgeted Contribution Margin per Unit $180 $600 Actual Sales (units) Actual Selling Price 5,000 3,000 $320 $750 What is the total sales-volume variance in terms of the contribution margin?
Appliance Manufacturing Galaxy Corporation manufactures two types of air purifiers, the Basic and the Premium. The following information was gathered about the two products: Budgeted Sales (units) Basic Premium 4,500 2,500 $400 $900 Budgeted Selling Price Budgeted Contribution Margin per Unit $180 $600 Actual Sales (units) Actual Selling Price 5,000 3,000 $320 $750 What is the total sales-volume variance in terms of the contribution margin?
Managerial Accounting: The Cornerstone of Business Decision-Making
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Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
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Chapter13: Emerging Topics In Managerial Accounting
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What is the total sales-volume variance in terms of the contribution margin

Transcribed Image Text:Appliance
Manufacturing
Galaxy
Corporation
manufactures two types of air purifiers, the Basic and the
Premium. The following information was gathered about
the two products:
Budgeted Sales (units)
Basic Premium
4,500 2,500
$400 $900
Budgeted Selling Price
Budgeted Contribution Margin per Unit $180 $600
Actual Sales (units)
Actual Selling Price
5,000 3,000
$320 $750
What is the total sales-volume variance in terms of the
contribution margin?
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