asper Co has the following budget and actual figures for 20X4. Details Budget Actual Sales units 600 620 Selling price per unit $30 $29 Standard full cost of production = $28 per unit. Required: Calculate the selling price variance and the sales volume profit variance.
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
asper Co has the following budget and actual figures for 20X4.
|
Details |
Budget |
Actual |
|
Sales units |
600 |
620 |
|
Selling price per unit |
$30 |
$29 |
Required: Calculate the selling price variance and the sales volume profit variance.
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