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Sir,
here they have given actual figures for 12-month period, and Budgeted sales they have given for 3-month period, so to get sales volume variance i divided the actul sales i.e 48000 by 12 and then multiplied it by 3 to get 3 month sales and then got the sales volume variance which is 38000 (A).
Actual sale for 3 month (48000/12 x3) = 12000
budgeted for 3 months = 50000, so 38000 (A)but BPP answers doesn’t did like this they took 48000 straight for volume analysis.
why it is like that Sir ?
It is a mistake in the question!
The budgeted sales should say budgeted for the year (not budgeted for the three month period).
There are a few mistakes in the Revision Kit, but if you go to their website and use the code on the inside of the front cover, you should be able to find a list of corrections.
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