Based on the Information Given, Calculate the Dollar Amount of the Variance

question 9

Short Answer

Based on the information given, calculate the dollar amount of the variance and indicate whether it is favorable or unfavorable. $$\begin{array} { | l | l | l | l | l | } \hline \text { Item } & \text { Budget } & \text { Actual } & \text { Variance } & \begin{array} { l } \text { Favorable or } \\\text { Unfavorable }\end{array} \\\hline \text { Sales Revenue } & \$ 820,000 & \$ 814,000 & & \\\hline\end{array}$$

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Definitions:

Compensation

Financial and non-financial rewards given to employees in exchange for their work and service.

Textbook

A book containing comprehensive and authoritative information on a specific subject, intended primarily for academic study.

Contextual Variables

External or environmental factors that influence the performance or behavior of individuals or organizations.

Structural Variables

Elements or factors that define the organization's structure, such as hierarchy levels, departmentalization, and the distribution of authority and responsibilities.