Chapter 23, Problem 2QC

MajorNet Systems is a start-up company that makes connectors for high-speed Internet connections The company has budgeted variable costs of $145 for each connector and fixed costs of $7,500 per month. MajorNet’s static budget predicted production and sales of 100 connectors in August, but the company actually produced and sold only 84 connectors at a total cost of $21,000.
2. MajorNet's sales volume variance for total costs is
Learning Objective 1

1. $1,320 U.
2. $1,320 F.
3. $2,320 U.
4. $2,320 F.