Marathon sports equipment company projected sales of 79 comma 000 units at a unit sales price of $ 14 for the year. actual sales for the year were 77 comma 000 units at $ 15 per unit. variable costs were budgeted at $ 3 per unit, and the actual amount was $ 4 per unit. budgeted fixed costs totaled $ 376 comma 000, while actual fixed costs amounted to $ 420 comma 000. what is the sales volume variance for total revenue?

$26,000

Explanation:

The Sales volume variance can be calculated using the following formula:

Sales Volume Variance = Actual Sales ($) - Budgeted Sales ($)

Or you can also use the following formula:

Sales Volume Variance = (Actual Sales Units - Budgeted Sales Units) * Budgeted price per unit

Here

Actual Sales ($) is 77000 unit at $14 budgeted sales price per unit which means total sales in dollars was $1,078,000.

Budgeted Sales ($) is 79000 unit at $14 budgeted sales price per unit which means total budgeted sales in dollars was $1,104,000.

Sales Volume Variance = $1,078,000 - $1,104,000 = $26,000

the definition of a small business is an independently owned and operated company that is limited in size and in revenue depending on the industry. a local bakery that employs 10 people is an example of a small business. a manufacturing facility that employees less than 500 people is an example of a small business.