Trenton Furniture Co. manufactures tables and planned to sell 4,000 tables in its master budget for the coming year. The budgeted selling price is $60 per table, variable costs are $20 per table, and budgeted fixed costs are $50,000 per month. At the end of the year, it was determined that Trenton actually sold 3,850 tables for a total sales revenue of $225,000. The total variable costs were $76,700, and the fixed costs were $48,000. What is the volume variance for sales revenue? a) $9,000 unfavorable b) $7,200 favorable c) $9,000 favorable d) $1,000 unfavorable

Trenton Furniture Co. manufactures tables and planned to sell 4,000 tables in its master budget for the coming year. The budgeted selling price is $60 per table, variable costs are $20 per table, and budgeted fixed costs are $50,000 per month. At the end of the year, it was determined that Trenton actually sold 3,850 tables for a total sales revenue of $225,000. The total variable costs were $76,700, and the fixed costs were $48,000. What is the volume variance for sales revenue? a) $9,000 unfavorable b) $7,200 favorable c) $9,000 favorable d) $1,000 unfavorable

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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