products that it sells to the same market. Excerpted below are its budgeted and actual operating results for the year just completed:     Budget Actual Unit sales     Product X 21,500 40,000 Product Y 89,000 79,000 Unit contribution margin     Product X $ 6.00 $ 3.90 Product Y $ 13.00 $ 14.00 Unit selling price     Product X $ 13.00 $ 14.00 Product Y $ 30.00 $ 29.00   Industry volume was estimated to be 1,865,000 units at the time the budget was prepared. Actual industry volume for the period was 2,400,000 units. Arrow measures variances using contribution margin.   The weighted-average budgeted contribution margin per unit is:   Multiple Choice   $10.43.   $11.64.   $12.23.   $9.12.   $9.17.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Q49

 

Arrow, Incorporated, manufactures two products that it sells to the same market. Excerpted below are its budgeted and actual operating results for the year just completed:

 

  Budget Actual
Unit sales    
Product X 21,500 40,000
Product Y 89,000 79,000
Unit contribution margin    
Product X $ 6.00 $ 3.90
Product Y $ 13.00 $ 14.00
Unit selling price    
Product X $ 13.00 $ 14.00
Product Y $ 30.00 $ 29.00

 

Industry volume was estimated to be 1,865,000 units at the time the budget was prepared. Actual industry volume for the period was 2,400,000 units. Arrow measures variances using contribution margin.

 

The weighted-average budgeted contribution margin per unit is:

 

Multiple Choice
  •  

    $10.43.

  •  

    $11.64.

  •  

    $12.23.

  •  

    $9.12.

  •  

    $9.17.

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