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FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question
Fourth option: $2,200 unfavorable sales variance

Transcribed Image Text:The following information was drawn from the accounting records of Ashton Company.
Budgeted
Actual
Sales
$ 8,000
$10,200
Cost of Goods Sold
(4,200)
(5,400)
Gross Margin
3,800
4,800
Variable Cost
(1,600)
(2,100)
Fixed Cost
(1,700)
(1,300)
Net Income
$
500
$ 1,400
Based on this information Ashton Company has a
Multiple Choice
$900 favorable sales variance
$900 unfavorable sales variance
$2,200 favorable sales variance
Expert Solution
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