(b)Your AnswerCorrect Answer (Used)Calculate the company's sales price variance and comprehensive sales activity variance, specifying the amount and sign for each.Sales price varianceSales activity variance $Sales mix variance$TheSales quantity variance $$eTextbook and Media7,865Break down the company's comprehensive sales activity variance into the sales mix variance and sales quantity variance,specifying the amount and sign for each.1,475FavorableFavorable4Which of these two variances had a bigger effect on the comprehensive sales activity variance this year?had a greater effect on the sales activity variance William works in the accounting department of a local footwear manufacturer that specializes in clogs and boots. Clogs and bootstypically sell for $105 and $207 per pair, respectively. Based on past experience, fashion trends, and seasonal shifts, the companyexpected to sell 780 pairs of clogs and 220 pairs of boots. The variable cost per pair was $49 for clogs and $76 for boots.At the end of the year, William evaluated the company's sales and contribution margin amounts against the budget. Actual results forthe year were as follows.(a)Actual sales volume: clogs, 935; boots, 165.Actual selling price: clogs, $115 per pair; boots, $198 per pair.Actual per-unit variable costs for each product were the same as budgeted.Your answer is correct.For the year just ended, determine the company's total revenues, total variable costs, and total contribution margin for its (1)master budget. (2) flexible budget, and (3) actual income statement.Total revenuesTotal variable costsTotal contribution margineTextbook and Media$SSMaster Budget1274405494072500S$SFlexible Budget1323305835573975$SSActual1401958358184Attempts: 1 of 3 used

Name: (b)Your AnswerCorrect Answer (Used)Calculate the company's sales pric
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Description: (b)Your AnswerCorrect Answer (Used)Calculate the company's sales price variance and comprehensive sales activity variance, specifying the amount and sign for each.Sales price varianceSales activity variance $Sales mix variance$TheSales quantity vari

Introduction: A product's sales volume variance is calculated by multiplying the difference…

Business

Accounting

Break down the company's comprehensive sales activity variance into the sales mix variance and sales quantity var specifying the amount and sign for each. Sales mix variance Sales quantity variance $ $ 4

Break down the company's comprehensive sales activity variance into the sales mix variance and sales quantity var specifying the amount and sign for each. Sales mix variance Sales quantity variance $ $ 4

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Maria Lorenzi owns an ice cream stand that she operates during the summer months in West Yellowstone, Montana. She is unsure how to price her ice cream cones and has experimented with two prices in successive weeks during the busy August season. The number of people who entered the store was roughly the same each week. During the first week, she priced the cones at $3.60 and 1,855 cones were sold. During the second week, she priced the cones at $4.10 and 1,450 cones were sold. The variable cost of a cone is $.40 and consists solely of the costs of the ice cream and the cone itself. The fixed expenses of the ice cream stand are $2,000 per week. Required: 1. What profit did Maria earn during the first week when her price was $3.60? 2. At the start of the second week, Maria increased her selling price by what percentage? What percentage did unit sales decrease? (Round your percentage answers to 2 decimal place.) 3. What profit did Maria earn during the second week when her price was…
Maria Lorenzi owns an ice cream stand she operates during the summer months in West Yellowstone, Montana. She is unsure how to price her ice cream cones and has experimented with two prices in successive weeks during the busy August season. The number of people who entered the store was roughly the same each week. During the first week, she priced the cones at $4.40 and 2,075 cones were sold. During the second week, she priced the cones at $4.90 and 1,650 cones were sold. The variable cost of a cone is $.80 and consists solely of the costs of the ice cream and the cone itself. The fixed expenses of the ice cream stand are $2,020 per week. Required: 1. What profit did Maria earn during the first week when her price was $4.40? 2. At the start of the second week, Maria increased her selling price by what percentage? What percentage did unit sales decrease? Note: Round your percentage answers to 2 decimal place. 3. What profit did Maria earn during the second week when her price was $4.90?…
Maria Lorenzi owns an ice cream stand that she operates during the summer months in West Yellowstone, Montana. She is unsure hov to price her ice cream cones and has experimented with two prices in successive weeks during the busy August season. The number of people who entered the store was roughly the same each week. During the first week, she priced the cones at $5.80 and 2,460 cones were sold. During the second week, she priced the cones at $6.30 and 2,000 cones were sold. The variable cost of a cone is $1.50 and consists solely of the costs of the ice cream and the cone itself. The fixed expenses of the ice cream stand are $2,055 per week. Required: 1. What profit did Maria earn during the first week when her price was $5.80? 2. At the start of the second week, Maria increased her selling price by what percentage? What percentage did unit sales decrease? (Round your percentage answers to 2 decimal place.) 3. What profit did Maria earn during the second week when her price was…
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Ibri Company, a manufacturer of stereo systems, started its production in January 2018. For the preceding 3 years had been a retailer of stereo systems. After a thorough survey of stereo system markets, Ibri Company decided to turn its retail store into a stereo equipment factory. Raw materials cost for a stereo system will total $77 per unit. Workers on the production lines are on average paid $11 per hour. A stereo system usually takes 4 hours to complete. In addition, the rent on the equipment used to assemble stereo systems amounts to $5,200 per month. Indirect materials cost $5 per system. A supervisor was hired to oversee production; her monthly salary is $3,000. Factory janitorial costs are $1,000 monthly. Advertising costs for the stereo system will be $5,000 per month. The factory building depreciation expense is $8,400 per year. Property taxes on the factory building will be $12,000 per year. Instructions Prepare an answer sheet with the following column headings. Cost…