please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image) SalesPrime cost of salesVariable OverheadsFixed expensesPROFIT(In lakhs)31-3-2014₹120802015531-3-2015₹129.691.124.018.5(4.0)During 2014-15, average prices increased over these of the previous years(1) 20% in case of sales (2) 15% in case of prime cost (3) 10% in case of Overheads.Prepare a profit variance statement from the above data.

Profit variance is the difference between the actual profit experienced and the budgeted profit…

Answered: Prepare a profit variance statement…

Business

Accounting

Prepare a profit variance statement from the above data.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Sales
Prime cost of sales
Variable Overheads
Fixed expenses
PROFIT
(In lakhs)
31-3-2014
₹
120
80
20
15
5
31-3-2015
₹
129.6
91.1
24.0
18.5
(4.0)
During 2014-15, average prices increased over these of the previous years
(1) 20% in case of sales (2) 15% in case of prime cost (3) 10% in case of Overheads.
Prepare a profit variance statement from the above data.

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