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In September, Larson Inc

question 22

Multiple Choice

In September, Larson Inc. sold 40,000 units of its only product for $240,000, and incurred a total cost of $225,000, of which $25,000 was fixed costs. The flexible budget for September showed total sales of $300,000. Among variances of the period were: total variable cost flexible-budget variance, $8,000U; total flexible-budget variance, $63,000U; and, sales volume variance, in terms of contribution margin, $27,000U.

The sales volume variance, in terms of operating income, for September (to the nearest dollar) was:

Definitions:

Fiduciary Duty

A legal obligation of one party to act in the best interest of another when entrusted with certain duties and responsibilities.

Voting Rights

The rights of citizens to vote on political matters or in elections to choose public officials.

Employment Search Services

Professional services assisting individuals in finding job opportunities and career advice, often including resume building and interviewing techniques.

Principal Office

The primary location where a company's executive offices are located, often where the most important managerial activities take place.