Accounting · Standard Costing and Variance Analysis
In a standard costing system, which of the following scenarios would explain a favorable sales volume variance?
- 1Actual production units were less than budgeted production units
- 2Actual sales units were greater than budgeted sales units✓
- 3Actual sales units were less than budgeted sales units
- 4Budgeted sales units were greater than budgeted production units
Correct answer
Actual sales units were greater than budgeted sales units
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