Johnson Construction Materials Company has a sales office which sells concrete culvert pipe to property developers. The sales office is a revenue center and must prepare a monthly performance report. It has provided the following information.

How much is the flexible budget variance for the 40 inch pipe?

A) $1,850 U

B) $3,000 F

C) $10,000 U

D) $1,500 F

Transcribed Image Text:

Product type: 40 inch 36 inch long 36 inch short 32 inch Actual Sales Revenue $31,500 $40,150 $36,200 $19,000 Revenue Center Performance Report Flexible Budget Flexible Budget Variance U/F $30,000 $42,000 $33,000 $20,000 Sales Volume Variance U/F Static Budget $40,000 $33,000 $30,000 $28,000 Product type: 40 inch 36 inch long 36 inch short 32 inch Actual Sales Revenue $31,500 $40,150 $36,200 $19,000 Revenue Center Performance Report Flexible Budget Flexible Budget Variance U/F $30,000 $42,000 $33,000 $20,000 Sales Volume Variance U/F Static Budget $40,000 $33,000 $30,000 $28,000

Answer rating: 100% (QA)

D 1500 F Explanation ... View the full answer