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Calculate variance that comes from pricing

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Reference no: EM133010432

Consider the situation below: Bangalore Bakery Inc. is a small company that specializes in baking a special type of snack:

Modi Masala Donut [MMD] at $5.00 each
For 2019:
Budget Revenue $8000
Actual Revenue $6825

Budget Volume 1,600 donuts                    Actual Volume 1,300 units
Budget Price $5.00                                 Actual Price $5.25

Problem a: Calculate:
1. Total Budget Variance
2. Variance that comes from pricing
3. Variance that comes from volume

Reference no: EM133010432

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