Consider the following data for Morethanmoney Ltd.
Standard revenue per unit $10.00
Budgeted sales volume 5,000
Actual sales volume 5,500
Total standard cost per unit $8.00
Actual total revenue $53,900
The sales price variance for Morethanmoney Ltd is:
A) $1,100
B) $3,900
C) $500
D) $5,500

Question

Consider the following data for Morethanmoney Ltd. 
Standard revenue per unit $10.00
Budgeted sales volume 5,000
Actual sales volume 5,500
Total standard cost per unit $8.00
Actual total revenue $53,900
The sales price variance for Morethanmoney Ltd is:
A) $1,100
B) $3,900
C) $500
D) $5,500

Quizplus · Accepted Answer

Sales price variance = (Actual sales volume - Budgeted sales volume) * Standard revenue per unit= (5,500 - 5,000) * $10.00= 500 * $10.00= $5,000

Consider the Following Data for Morethanmoney Ltd