Sheridan Sports sells volleyball kits that it purchases from a sports equipment distributor. The following static budget based on sales of2,200 kits was prepared for the year. Fixed operating expenses account for 75% of total operating expenses at this level of sales.SalesCost of goods sold (all variable)Gross marginOperating expensesOperating incomeUnitSalesSalesrevenue$ 220,000Cost ofgoodssold$140,800Assume that Sheridan Sports actually sold 1,900 volleyball kits during the year at a price of $102 per kit.Calculate the sales volume variance for sales revenue and cost of goods sold. (If variance is zero, select "Not Applicable" and enter O for theamounts.)Flexible Budget79,20070,0009,200LASales Volume VarianceLAStatic Budget

A flexible budget is prepared on the basis of the budgeted rate and on the basis of different…

Sheridan Sports sells volleyball kits that it purchases from a sports equipment distributor. The following static budget based on sales of 2,200 kits was prepared for the year. Fixed operating expenses account for 75% of total operating expenses at this level of sales. Sales Cost of goods sold (all variable) Gross margin Operating expenses Operating income Unit Sales Sales revenue Cost of goods $ 220,000 Assume that Sheridan Sports actually sold 1,900 volleyball kits during the year at a price of $102 per kit. Calculate the sales volume variance for sales revenue and cost of goods sold. (If variance is zero, select "Not Applicable" and enter O for the amounts.) $ $ 140,800 Flexible Budget 79,200 70,000 9,200 $ Sales Volume Variance 100 $ Static Budget

Sheridan Sports sells volleyball kits that it purchases from a sports equipment distributor. The following static budget based on sales of 2,200 kits was prepared for the year. Fixed operating expenses account for 75% of total operating expenses at this level of sales. Sales Cost of goods sold (all variable) Gross margin Operating expenses Operating income Unit Sales Sales revenue Cost of goods $ 220,000 Assume that Sheridan Sports actually sold 1,900 volleyball kits during the year at a price of $102 per kit. Calculate the sales volume variance for sales revenue and cost of goods sold. (If variance is zero, select "Not Applicable" and enter O for the amounts.) $ $ 140,800 Flexible Budget 79,200 70,000 9,200 $ Sales Volume Variance 100 $ Static Budget

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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