What Is the Cause of a Favorable Sales Volume Variance

question 143

Multiple Choice

What is the cause of a favorable sales volume variance for revenues?

• A)Actual net income for the subunit is greater than budgeted net income.
• B)Actual sales in dollars are greater than the master budget sales in dollars.
• C)Actual sales in dollars are less than the static budget sales in dollars.
• D)The flexible budget sales in dollars are greater than the static budget sales in dollars.

Understand the role of trust and relationships in sales.

Realize the importance of problem-solving and creativity in sales strategy.

Recognize the varied needs of business-to-business buyers.

Identify the principles of professional selling and the value of strategic customer relationships.

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Definitions:

Price

The total money amount demanded for the purchase of a service or good.

Product

An item offered for sale which can be a good, a service, or an idea.

Supply

The total quantity of a good or service that is available for purchase at various price levels in a given market.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level, at a given point in time.