The Boyle Company estimated that April sales would be 150.000 units with an average seling price of $6.00. Actual sales for April were 149,000 units and average seling pnice was $6.12. a. What is the sales revenue flexible budget variance? is it favorable or unfavorable? b. What is the sales volume variance? Is it favorable or unfavorable?

Check the following calculations

Explanation:

Answer - a) - Sales revenue flexible budget variance = (Actual selling price - Estimated selling price) * Actual sales units

= ($6.12 per unit - $6.00 per unit) * 149000 units

= $17880 Favorable

b) - Sales volume variance = (Actual sales units - Estimated sales unit) * Estimated selling price

= (149000 units - 150000 units) * $6 per uni

= $6000 Unfavorable