Examlex

Solved

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:

Rice

A staple grain consumed worldwide, serving as a primary food source for a large portion of the global population.

Pounds

A unit of weight commonly used in the British imperial and United States customary systems, or the currency of the United Kingdom.

Comparative Advantage

The capacity of a being to generate a product or service at a reduced opportunity cost compared to others.

Range Of Prices

A spectrum or interval between the lowest and highest prices at which goods or services are sold in the market.

Related Questions