The managerial accountant at Consumer Candy Company is assessing a sales volume variance between fiscal years 2011 and 2012.In 2011,sales volume was 1,670,000 cases of mixed candy;and,in 2012,a sales volume of 1,495,000 was recorded.The price per case of Candid Candy Mixed Candy was $68.42 for both years.
Required
Compute the revenue effect of growth in 2011 and 2012.Identify whether the variance is favorable,F,or unfavorable,U.
A) $4,973,000 F
B) $11,973,500 U
C) $9,785,000 F
D) $11,973,500 F
E) $9,785,000 U
Correct Answer:
Verified
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