Alexandria Engines Incorporated planned to use $37.50 of material per unit but actually used $36.75 of material per unit, and planned to make 1,800 units but actually made 1,600 units.
-The sales-volume variance is:

Question

Quizplus · Accepted Answer

The sales-volume variance is calculated as the difference between the planned and actual units produced, multiplied by the planned cost per unit. Here, (1,800 - 1,600) units x $37.50 = $7,500 unfavorable.

Alexandria Engines Incorporated Planned to Use $37