CIMA Fundamentals of management accounting BA2 Question # 58 Topic 6 Discussion

CIMA Fundamentals of management accounting BA2 Question # 58 Topic 6 Discussion

BA2 Exam Topic 6 Question 58 Discussion:
Question #: 58
Topic #: 6

The standard variable cost of product A is $4 per unit and the standard selling price is $6.80 per unit.

During the latest period 1,200 units of product A were produced and sold, compared with a budget of 1,300 units.

The actual variable cost incurred was $4.90 per unit and the actual selling price was $6.50 per unit.

The sales volume contribution variance for the period was


A.

$160 adverse


B.

$280 adverse


C.

$390 adverse


D.

$680 adverse


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