Gimmel Co. sells two types of briefcases-standard and specialty. The budget is based on a combination of last year's information as well as forecasted industry sales and the company's market share. The following information is provided for June:

Required:
1) Prepare a static budget and flexible budget for the company for June.
2) What is the revenue sales-volume variance?

Question

Gimmel Co. sells two types of briefcases-standard and specialty. The budget is based on a combination of last year's information as well as forecasted industry sales and the company's market share. The following information is provided for June:
 
Required:
1) Prepare a static budget and flexible budget for the company for June.
2) What is the revenue sales-volume variance?

Quizplus · Accepted Answer

The Answer of Gimmel Co. sells two types of briefcases-standard and specialty. The budget is based on a combination of last year's information as well as forecasted industry sales and the company's market share. The following information is provided for June:
 
Required:
1) Prepare a static budget and flexible budget for the company for June.
2) What is the revenue sales-volume variance?

Gimmel Co Sells Two Types of Briefcases-Standard and Specialty