Prism Furniture Co. makes tables and planned to sell 5,200 tables in its master budget for the coming year. The budgeted selling price is $42 per table, variable costs are $19 per table, and budgeted fixed costs are $46,000 per month. At the end of the year, it was determined that Prism actually sold 5,450 tables for $228,900. Total variable costs were $59,800 and fixed costs were $44,500. What was the volume variance for sales revenue? a. $9,800 favorable b. $10,500 favorable c. $11,200 favorable d. $8,700 favorable

Prism Furniture Co. makes tables and planned to sell 5,200 tables in its master budget for the coming year. The budgeted selling price is $42 per table, variable costs are $19 per table, and budgeted fixed costs are $46,000 per month. At the end of the year, it was determined that Prism actually sold 5,450 tables for $228,900. Total variable costs were $59,800 and fixed costs were $44,500. What was the volume variance for sales revenue? a. $9,800 favorable b. $10,500 favorable c. $11,200 favorable d. $8,700 favorable

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter8: Budgeting For Planning And Control

Section: Chapter Questions

Problem 11CE: Shalimar Company manufactures and sells industrial products. For next year, Shalimar has budgeted...

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