Mia Wiz sells computers. During May, it sold 300 computers at a $700 per unit price. The fixed budget for May predicted sales of 35 computers at an per unit price of $660. AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price 1&2. Compute the sales price variance and the sales volume variance for May. Identify it as favorable or unfavorable. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) Actual Sales Flexible Budget Budgeted Sales

Managerial Accounting: The Cornerstone of Business Decision-Making
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Chapter9: Profit Planning And Flexible Budgets
Section: Chapter Questions
Problem 20MCQ: A firm comparing the actual variable costs of producing 10,000 units with the total variable costs...
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Mia Wiz sells computers. During May, it sold 300 computers at a $700 per unit price. The fixed budget for May predicted sales of 350
computers at an per unit price of $660.
AQ = Actual Quantity
SQ = Standard Quantity
AP = Actual Price
SP = Standard Price
1&2. Compute the sales price variance and the sales volume variance for May. Identify it as favorable or unfavorable. (Indicate the
effect of each variance by selecting favorable, unfavorable, or no variance.)
Actual Sales
Flexible Budget
Budgeted Sales
Transcribed Image Text:Mia Wiz sells computers. During May, it sold 300 computers at a $700 per unit price. The fixed budget for May predicted sales of 350 computers at an per unit price of $660. AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price 1&2. Compute the sales price variance and the sales volume variance for May. Identify it as favorable or unfavorable. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.) Actual Sales Flexible Budget Budgeted Sales
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