1.If you add together the industry volume and market share variances, what do you get?

a. Zero

b. Sales volume variance

c. Nothing meaningful

d. Sales price variance

2.If you add together the sales volume variance, sales price variance, and all the cost variances, you get what?

a. Zero

b. Difference between actual and budgeted profit

c. Budgeted profit

d. Actual profit

3.The sales mix variance is worth calculating when the following conditions hold, with one exception. Identify the condition which is not relevant for the sales mix.

a. The contribution margins are very different

b. The products cannibalize each other

c. There are multiple products

d. The volumes are comparable

e. The products are demand complements

Please explain