alleryStart learning →A firm sold 1,000 units at Rs 48 each against a budgeted price of Rs 50. What is the sales price variance?
ARs 2,000 favourable
BRs 4,800 adverse
CRs 2,000 adverse
DRs 1,000 adverse
Answer & Solution
Correct answer: C. Rs 2,000 adverse
Selling 1,000 units Rs 2 below budget loses Rs 2,000, an adverse revenue variance.
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