St. Andrews Golf Company used the following data to evaluate their current operating system. The company sells 1 pack of golf balls for $10 per pack. The $10 selling price is also the budgeted selling price.

	Budgeted	Actual
Units Sold	1,000,000	990,000
Variable Costs	$3,000,000	$2,500,000
Fixed Costs	$1,800,000	$1,850,000

What is the total static budget variance for Ames Golf Company?

Select one:

a. $400,000 favourable

b. $650,000 favourable

c. $390,000 unfavourable

d. $350,000 favourable

e. $450,000 unfavourable