Question
The next year's budget for Trend, Inc., a multi-product company, is given below: Product A Product B Sales $ 1,890,000 $ 1,377,000 Variable costs 926,100
The next year's budget for Trend, Inc., a multi-product company, is given below:
Product A Product B
Sales $ 1,890,000 $ 1,377,000
Variable costs 926,100 596,700
Fixed costs 500,000 500,000
Net income 463,900 280,300 Units 252,000 108,000
At the end of the year, the total fixed costs and the variable costs per unit were exactly as budgeted, but the following units per product line were sold. Trend, Inc. analyzes the effects its sales variances have on the profitability of the company.
Product Lines Units Sales
A 253,230 $ 1,848,579
B 113,770 $ 1,479,010
What is the total sales price variance?
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