Answer the following questions using the information below:
Aurous Incorporated planned to use $35 of material per unit but actually used $34 of material per unit, and planned to make 1,500 units but actually made 1,300 units.
-The sales-volume variance for materials is ________.
A) $7,000 favorable
B) $7,000 unfavorable
C) $6,800 unfavorable
D) $6,800 favorable

Question

Quizplus · Accepted Answer

The sales-volume variance for materials is calculated as the difference between the planned and actual units produced, multiplied by the planned cost per unit. (1,500 - 1,300) units x $35 = $7,000 unfavorable.

Answer the Following Questions Using the Information Below