What is the total static-budget variance

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Reference no: EM132942484

The Sasita Corporation manufactures two types of vacuum cleaners, the Zenith for commercial building use and the House-Helper for residences. Budgeted and actual operating data for the year 2019 were as follows:

Prior to the beginning of the year, a consulting firm estimated the total volume for vacuum cleaners of the Zenith and House-Helper category to be 250,000 units, but actual industry volume was 256,000 units.

Problem 1: What is the total static-budget variance in terms of the contribution margin?

Option 1: $900,000 F

Option 2: $700,000 F

Option 3: $500,000 F

Option 4: $360,000 U

Option 5: $200,000 U

Reference no: EM132942484

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