If the Market-Size Variance Is $400 U and the Sales-Mix

question 93

Multiple Choice

If the market-size variance is $400 U and the sales-mix variance is $700 F, and the market share variance is $300 F, we know that which of the following is true?

• A) The sales-quantity variance is $100 U.
• B) The sales volume variance is $600 F.
• C) The sales-quantity variance is $100 U, and the sales volume variance is $600 F.
• D) The sales volume variance is $600 U.
• E) The sales volume variance is $600 F, and the sales-quantity variance is $100 F.

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Definitions:

Mass Affluent

Individuals with a significant amount of disposable income, though not wealthy by traditional standards, making them a target for certain luxury goods and financial services.

80/20 Rule

A theory that suggests that 20 percent of heavy users account for 80 percent of the total demand.

Heavy Users

Consumers who use or purchase a product or service much more frequently than average users.

VALS Framework

A psychographic segmentation tool used to categorize consumers into eight distinct types based on their lifestyles, attitudes, and values.