QS $21-22($Algo$)$ Sales variances LO A$1$

In a recent year a car manufacturer sold $217,544$ cars. The company budgeted to sell $226,944$ cars during the year. The budgeted sales price for each car was $$27,000$ and the actual sales price for each car was $$27,300.$

AQ $=$ Actual Quantity

SQ $=$ Standard Quantity

AP $=$ Actual Price

SP $=$ Standard Price

Compute the sales price variance and the sales volume variance and identify each variance as favorable or unfavorable.