Mia Wiz sells computers. During May, it sold 500 computers at a $1,000 per unit price. The fixed budget for May predicted sales of 550 computers at an per unit price of $960.

AQ = Actual Quantity

SQ = Standard Quantity

AP = Actual Price

SP = Standard Price

1&2. Compute the sales price variance and the sales volume variance for May. Identify it as favorable or unfavorable.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.