The Contribution Margin Volume Variance Is the Difference Between the Actual

question 80

Multiple Choice

The contribution margin volume variance is the difference between the actual and budgeted quantities sold multiplied by the:

• A)budgeted sales price
• B)actual contribution margin variance
• C)budgeted contribution margin variance
• D)budgeted average unit contribution margin

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Definitions:

Making Part

The process or activities involved in the manufacturing or creation of parts or components that are then assembled into final products.

Idle Capacity

The unused portion of a company's production or operational capacity, which indicates that not all resources are being fully utilized.

Financial Advantage

A benefit that gives an individual or business a better financial position compared to others.

Special Discounted Price

This is a temporary reduction in the selling price of goods or services, often used to attract customers or promote sales.