QUESTION 10

1. The following data pertains to the month of October for ElmCo when production and sales were budgeted to be 5,000 units of P90. ElmCo budgeted: Sales Price: $60.00 each Contribution Margin: $25 each

   In October the production and sales of P90 totaled 4,700 units. The actual results were:

   Revenues 4,700 units yielding $289,520 Contribution Margin: 4,700 units yielding $110,450

   1.) Determine the sales activity variance. ElmCo bases its analysis of sales activity on budgeted contribution margin. Negative numbers indicate an unfavorable variance. (Round to the nearest $1.00)