On September 1, the following actual operating results for August were reported: Product X $366,800 203,500 $ 163,300 58,500 $ 104,800 3,170 Product Y $ 546,800 224,500 $ 322,300 116,500 $ 205,800 9,850 Total industry volume for both products X and Y was estimated to be 138,500 units at the time of the budget. Actual industry volume for the period for products X and Y was 106,800 units. The contribution margin sales volume variance for Product X is: Sales Variable Costs Contribution Margin Fixed costs Operating Income Units Sold Multiple Choice $12,500 unfavorable. $15,800 favorable. $23,200 favorable. $23,200 unfavorable. Total $ 913,600 428,000 $ 485,600 175,000 $310,600 $28,120 favorable.
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.
![On September 1, the following actual operating results for August were reported:
Product X
$366,800
203,500
$ 163,300
58,500
$ 104,800
3,170
Sales
Variable Costs
Contribution Margin
Fixed costs
Operating Income
Units Sold
The contribution margin sales volume variance for Product X is:
Total industry volume for both products X and Y was estimated to be 138,500 units at the time of the budget. Actual industry volume for the period for products X and Y was 106,800 units.
Multiple Choice
O
$12,500 unfavorable.
O $23,200 favorable.
O
$15,800 favorable.
$23,200 unfavorable.
Product Y
$ 546,800
224,500
$ 322,300
116,500
$ 205,800
9,850
$28,120 favorable.
Total
$ 913,600
428,000
$ 485,600
175,000
$ 310,600](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F52e89c70-44b2-4fd1-a75c-c3f7cd1405c1%2F8b837255-6fff-4612-9a26-3b4ebf93d7fb%2Fd9u9yr_processed.png&w=3840&q=75)
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