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The San Quintin Corporation Manufactures Automobile Hub Caps

Question 146

Essay

The San Quintin Corporation manufactures automobile hub caps. In 2016, it expected to produce 385,000 hub caps at $6 per unit. The 2016 actual figures were 432,100 units which sold at $7 each.
Compute:
a. The Sales Price Variance
b. The Sales Volume Variance
c. The Overall (Total) Sales Variance Indicate whether Favorable or Unfavorable

Correct Answer:

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a. Sales Price Variance = (Actual Price ...

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