What Is the Formula Used to Calculate Market Share Variance

question 61

Multiple Choice

What is the formula used to calculate market share variance?

• A)[(Actual industry sales in units - Budgeted industry sales in units) * (Budgeted market share percentage)] * (Budgeted average unit contribution margin)
• B)[(Actual market share percentage - Budgeted market share percentage) *(Actual industry sales in units)] * (Budgeted average unit contribution margin)
• C)(Actual quantity sold - Budgeted quantity sold) * Budgeted average unit contribution margin
• D)(Actual quantity sold - Budgeted quantity sold) * Actual average unit contribution margin

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Definitions:

Osseous Tissue

is a major structural and supportive connective tissue of the body, forming the skeletal system; also known as bone tissue.

Cancellous Tissue

A spongy type of bone tissue found at the ends of bones and in the interior of vertebrae, known for its porous, honeycombed structure.

Marrow

Marrow is the soft, spongy tissue inside bones that produces blood cells.

Osteoblasts

Cells responsible for bone formation, playing key roles in the growth, repair, and remodeling of bones.