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Question - The following static budget is provided:
Per Unit Total
Sales $80 $1,040,000
Less variable costs: Manufacturing costs 40 520,000
Selling and administrative costs 20 260,000
Contribution margin$20 $260,000
Less fixed costs: Manufacturing costs 82,000
Selling and administrative costs 132,000
Total fixed costs: 214,000
Net income $46,000
Required - What will be the overall volume variance if 16,000 units are produced and sold?
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