Question
Question 1 Clean-It-Up manufactures industrial dryers and washers. The following information is available for February: Dryers Washers Budgeted units sold 10,000 40,000 Actual sales (in
Question 1
Clean-It-Up manufactures industrial dryers and washers. The following information is available for February:
|
| Dryers | Washers |
| Budgeted units sold | 10,000 | 40,000 |
| Actual sales (in units) | 8,820 | 33,180 |
| Actual selling price per unit | $700 | $900 |
| Budgeted selling price per unit | $710 | $930 |
| Budgeted market share | 20% | 25% |
| Actual market share | 25% | 24% |
| Budget cont. margin /unit | $275 | $375 |
REQUIRED:
- Determine the sales-mix and sales-quantity variances. (6 marks)
- Determine the market-share and market-size variances. (6 marks)
- Discuss the potential causes of variance. (3 marks)
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Quality Audit Standard Requirements
Authors: Gerardus Blokdyk
1st Edition
0655170898, 978-0655170891
