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A machine distributor sells two models, basic and deluxe. The following information relates to its master budget. Basic Deluxe Sales (units) 8,440 2,110 Sales price

A machine distributor sells two models, basic and deluxe. The following information relates to its master budget.

Basic Deluxe
Sales (units) 8,440 2,110
Sales price per unit $ 9,100 $ 13,100
Variable costs per unit $ 7,280 $ 9,825

Actual sales were 7,385 basic models and 2,965 deluxe models. The actual sales prices were the same as the budgeted sales prices for both models.

What is the sales activity variance for the deluxe model?

Multiple Choice

$422,000

$902,025

$1,920,100

$2,800,125

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