Question
The budgeted selling price of one of C's range of chocolate bars was $6.00 per bar. At the beginning of the budget period market prices
The budgeted selling price of one of C's range of chocolate bars was $6.00 per bar. At the beginning of the budget period market prices of cocoa increased significantly and C decided to increase the selling price of the chocolate bar by 10% for the whole period. C also decided to increase the amount spent on marketing and as a result actual sales volumes increased to 15,750 bars which was 5% above the budgeted volume. The standard contribution per bar was $2.00 however a contribution of $2.25 per bar was actually achieved. What is sales price variance for the period?
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