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Sales Price Variance, Sales Volume Variance, Overall Sales Variance

Saginaw Company is a garden products wholesale firm. In December, Saginaw Company expects to sell 28,000 bags of vegetable fertilizer at an average price of $5.2 per bag. Actual results are 28,700 bags sold at an average price of $5.1 per bag.

Required:

1. Calculate the sales price variance for December.

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2. Calculate the sales volume variance for December.

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3. Calculate the overall sales variance for December.

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4. What if December sales were actually 27,800 bags calculate the new sales price variance?

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The sales volume variance?

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The overall sales variance?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M93048563

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