The Morton Company gathered the following information for the year. $$\begin{array} { | l | r | r | r | }
\hline & \begin{array} { r }
\text { Procuct } \
\text { Product }
\end{array} & \text { Total } \
\hline \begin{array} { l }
\text { Budgeted sales mix (units) }
\end{array} & 40 \% & 60 \% & 100 \% \
\hline \begin{array} { l }
\text { Budgeted and actual sales } \
\text { price }
\end{array} & \$ 48 & \$ 36 & \
\hline \begin{array} { l }
\text { Budgeted variable cost per } \
\text { unit }
\end{array} & \$ 32 & \$ 24 & \
\hline \text { Actual sales (units) } & & & 126,000 \
\hline \text { Actual sales mix } & 60 \% & 40 \% & 100 \% \
\hline \text { Fixed costs } & & & \$ 80,000 \
\hline
\end{array}$$What is the total sales mix variance?
A) $705,600.
B) $403,200.
C) $302,400.
D) $100,800.

Question

The Morton Company gathered the following information for the year. $$\begin{array} { | l | r | r | r | } 
\hline & \begin{array} { r } 
\text { Procuct } \
\text { Product }
\end{array} & \text { Total } \
\hline \begin{array} { l } 
\text { Budgeted sales mix (units) }
\end{array} & 40 \% & 60 \% & 100 \% \
\hline \begin{array} { l } 
\text { Budgeted and actual sales } \
\text { price }
\end{array} & \$ 48 & \$ 36 & \
\hline \begin{array} { l } 
\text { Budgeted variable cost per } \
\text { unit }
\end{array} & \$ 32 & \$ 24 & \
\hline \text { Actual sales (units) } & & & 126,000 \
\hline \text { Actual sales mix } & 60 \% & 40 \% & 100 \% \
\hline \text { Fixed costs } & & & \$ 80,000 \
\hline
\end{array}$$What is the total sales mix variance?
A) $705,600.
B) $403,200.
C) $302,400.
D) $100,800.

Quizplus · Accepted Answer

The Answer of The Morton Company gathered the following information for the year. $$\begin{array} { | l | r | r | r | } 
\hline & \begin{array} { r } 
\text { Procuct } \
\text { Product }
\end{array} & \text { Total } \
\hline \begin{array} { l } 
\text { Budgeted sales mix (units) }
\end{array} & 40 \% & 60 \% & 100 \% \
\hline \begin{array} { l } 
\text { Budgeted and actual sales } \
\text { price }
\end{array} & \$ 48 & \$ 36 & \
\hline \begin{array} { l } 
\text { Budgeted variable cost per } \
\text { unit }
\end{array} & \$ 32 & \$ 24 & \
\hline \text { Actual sales (units) } & & & 126,000 \
\hline \text { Actual sales mix } & 60 \% & 40 \% & 100 \% \
\hline \text { Fixed costs } & & & \$ 80,000 \
\hline
\end{array}$$What is the total sales mix variance?
A) $705,600.
B) $403,200.
C) $302,400.
D) $100,800.

The Morton Company Gathered the Following Information for the Year