Sara?s Systems manufactures audio systems for cars. Two models are produced: The Standard model has a budgeted price of $175 and a standard variable cost of $55. The Blaster model has a budgeted price of $455 and a standard variable cost of $135. At the beginning of the year, Sara estimated that she would sell 5,900 Blaster models and 23,600 Standard models. The actual results for the year showed that 7,140 Blaster models were sold for total revenues of $3,213,000. A total of 25,500 Standard models were sold for revenues of $5,610,000.

Required:

a.Compute the activity variance for the year.(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.)

b.Compute the mix and quantity variances for the year.(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.)

**SEE ATTACHMENT**

Sara's Systems manufactures audio systems for cars. Two models are produced: The Standard model has a bud and a standard variable cost of $55. The Blaster model has a budgeted price of $455 and a standard variable co beginning of the year, Sara estimated that she would sell 5,900 Blaster models and 23,600 Standard models. Th year showed that 7,140 Blaster models were sold for total revenues of $3,213,000. A total of 25,500 Standard mo Required: a. Compute the activity variance for the year. (Do not round intermediate calculations. Indicate the effect of favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Favorable/Unfavorable Activity Variance b. Compute the mix and quantity variances for the year. (Do not round intermediate calculations. Indicate the or "U" for unfavorable. If there is no effect, do not select either option.) Favorable/Unfavorable Mix Variance Quantity Variance Standard model has a budgeted price of $175 nd a standard variable cost of $135. At the 600 Standard models. The actual results for the al of 25,500 Standard models were sold for revenues of $5,610,000. s. Indicate the effect of each variance by selecting "F" for alculations. Indicate the effect of each variance by selecting "F" for favorable