A-Zone Media sells two models of e-readers. The budgeted price per unit for the wireless model is
Question:
A-Zone Media sells two models of e-readers. The budgeted price per unit for the wireless model is $212 and the budgeted price per unit for the wireless and cellular model is $456. The master budget called for sales of 12,000 wireless models and 3,500 wireless and cellular models during the current year. Actual results showed sales of 9,500 wireless models, with a price of $300 per unit, and 5,100 wireless and cellular models, with a price of $800 per unit. The standard variable cost per unit is $100 for a wireless model and $260 for a wireless and cellular model.
Required:
a. Compute the activity variance for these data.
b. Compute the mix and quantity variance for these data. (Enter your answers rounded to the nearest whole dollar.)
Fundamentals of Cost Accounting
ISBN: 978-1259565403
5th edition
Authors: William Lanen, Shannon Anderson, Michael Maher