The following data are available for product X:
Period
Budget
Actual
Sales units
5,000
5,200
$
Sales revenue
50,000
57,200
Manufacturing cost
30,000
31,200
Profit
20,000
26,000
What is the sales volume profit variance?
The correct answer is: $800 favourable
(5,200 units - 5,000 units) × $20,000 ÷ 5,000 units = $800
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