The static budget, at the beginning of the month, for Beacon Banner Company follows:

Static budget:
Sales volume: 1100 units; Sales price: $70.00 per unit
Variable costs: $33.00 per unit; Fixed costs: $37,800 per month
Operating income: $2900

Actual results, at the end of the month, follows:
Actual results:
Sales volume: 995 units; Sales price: $75.00 per unit
Variable costs: $35.00 per unit; Fixed costs: $35,000 per month
Operating income: $4800
Calculate the sales volume variance for revenue.
A) $2800 U
B) $7350 U
C) $3885 U
D) $4975 F


B) $7350 U

Explanation:

Business

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