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23 July, 09:31

Claremont Company specializes in selling refurbished copiers. During the month, the Company sold 195 copiers for total sales of $643, 500. The budget for the month was to sell 190 copiers at an average price of $3, 500. The sales price variance for the month was.

a. $21, 500 unfavorable.

b. $21, 500 favorable.

c. $39,000 unfavorable.

d. $35,000 unfavorable.

e. $39,000 favorable.

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  1. 23 July, 12:32
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    So the option is C.$39,000 unfavorable.

    Explanation:

    Sales price variance = (Actual price - Budgeted price) x Actual unit sales

    = ($643,500/195-$3,500) * 195 copiers

    =-$200*195

    =$39,000 Unfavorable.

    So the option is C.$39,000 unfavorable.
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