Answer (C) is correct . Based on the revised industry volume, Xerbert should have sold 258,000 units (2,580,000 ¡Á 10% ). Because 260,000 were actually sold, the companyAnswer (A) is incorrect because Only 20% of the increased volume is due to an improved market share, while the other 80% is due to the increased industry volume.
Answer (B) is incorrect because This percentage of the increased volume was due to the increased industry volume.
Answer (D) is incorrect because The percentage increase in actual unit sales over budgeted unit sales is 4% [(260 units – 250 units) ÷ 250 units].
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The budgeted total volume of 250,000 units was based upon Xerbert’s achieving a market share of 10%. Actual industry volume was 2,580,000 units. Xerbert’s increased volume owing to improved market share is
