Vidyalelo
Commerce · Q522

Costing

Graduate and Post Graduate · Commerce · question 522

Q522

If static budget amount is 6000 and flexible budget amount is 15000, then sales volume variance will be

A.
$9,000
Answer
B.
$8,000
C.
$12,000
D.
$21,000

Answer: Option A

Solution

Answer: Option A
Solution:
Sales volume variance = Flexible budget amount - Static budget amount
= 6000 = $9,000