1.3 SOLLY TRADERS Explain what Solly would feel that all these variances are problems for his business. Motivate your answer. (9) Figures provided by the accountant on 30 November 2019: Total sales Cash sales Credit sales Advertising Packing material Delivery expenses PROJECTED 320 000 96 000 224 000 7 000 6 600 12 800 ACTUAL VARIANCE 290 000 - 30 000 50 000 - 46 000 240 000 +16 000 2 000 - 5 000 6 600 0 12 500 - 300 o Page 5 of 9 1.3 Explain what Solly would feel that all these variances are problems for his business. COMMENT ON VARIANCES Sales Advertising Packing materials Delivery expenses 9