The income data of Escano Company for the years 200B and 200A are follows:                200B                           200A                  Variance Sales       P276,000                   P204,000         P72,000 favorable COGS      151,800                       122,400        P29,400 unfavorable Gross Profit P124,200               P81,600             P42,600 favorable   If the sales price in 200B is approximately 20% higher than the sales price 200A, the P72,000 increase in sales  may be analyzed into:  P46,000 favorable P26,000 favorable The number of units increased (decreased) by 12.745%    The P29,400 increase in cost of sales may be analyzed into: Cost Price Variance Cost Volume Variance P15,600 unfavorable P13,800 favorable   The 200B cost price is higher (lower) than the 200A cost price by 10%

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

I alrdeady provided the correct answers, please show me the solutions.

 

The income data of Escano Company for the years 200B and 200A are follows:
               200B                           200A                  Variance

Sales       P276,000                   P204,000         P72,000 favorable

COGS      151,800                       122,400        P29,400 unfavorable

Gross Profit P124,200               P81,600             P42,600 favorable

 

If the sales price in 200B is approximately 20% higher than the sales price 200A, the P72,000 increase in sales 
may be analyzed into: 

P46,000 favorable P26,000 favorable


The number of units increased (decreased) by

12.745% 

 

The P29,400 increase in cost of sales may be analyzed into:
Cost Price Variance Cost Volume Variance

P15,600 unfavorable P13,800 favorable

 

The 200B cost price is higher (lower) than the 200A cost price by
10%

Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Risk Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education