alleryStart learning →Budget was 1,000 units; actual sales were 1,100. Standard margin is Rs 15 per unit. What is the sales volume variance?
ARs 1,500 adverse
BRs 1,650 favourable
CRs 15,000 favourable
DRs 1,500 favourable
Answer & Solution
Correct answer: D. Rs 1,500 favourable
Selling 100 units more than budget at a Rs 15 margin adds Rs 1,500 to profit, which is favourable.
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