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Exercise 17-30 (Static) Sales Mix and Quantity Variances (LO 17-4) Olivet Devices sells two models of fitness devices. The budgeted price per unit for the
Exercise 17-30 (Static) Sales Mix and Quantity Variances (LO 17-4) Olivet Devices sells two models of fitness devices. The budgeted price per unit for the wireless model is $38 and the budgeted price per unit for the wireless and cellular model is $83. The master budget called for sales of 40,000 wireless models and 10,000 wireless and cellular models during the current year. Actual results showed sales of 31,000 wireless models, with a price of $35 per unit, and 12,000 wireless and cellular models, with a price of $80 per unit. The standard variable cost per unit is $25 for a wireless model and $60 for a wireless and cellular model. Required: a. Compute the sales activity variance for these data. b. Break down the sales activity variance into mix and quantity parts. Complete this question by entering your answers in the tabs below. Compute the sales activity variance for these data. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Break down the sales activity variance into mix and quantity parts. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Exercise 17-30 (Static) Sales Mix and Quantity Variances (LO 17-4) Olivet Devices sells two models of fitness devices. The budgeted price per unit for the wireless model is $38 and the budgeted price per unit for the wireless and cellular model is $83. The master budget called for sales of 40,000 wireless models and 10,000 wireless and cellular models during the current year. Actual results showed sales of 31,000 wireless models, with a price of $35 per unit, and 12,000 wireless and cellular models, with a price of $80 per unit. The standard variable cost per unit is $25 for a wireless model and $60 for a wireless and cellular model. Required: a. Compute the sales activity variance for these data. b. Break down the sales activity variance into mix and quantity parts. Complete this question by entering your answers in the tabs below. Compute the sales activity variance for these data. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Break down the sales activity variance into mix and quantity parts. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)
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