Question - Jackson has the following flexible budget:
|
|
Actual
|
Budget
|
|
Sales (Units)
|
10,000
|
11,000
|
|
Sales Revenue
|
$400,000
|
$505,000
|
|
Variable Costs
|
($195,000)
|
(275,000)
|
|
Contribution Margin
|
$205,000
|
$230,000
|
|
Fixed Costs
|
($126,000)
|
(122,000)
|
|
Net Operating Income
|
$79,000
|
$108,000
|
Compute the Sales Price Variance.