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Forums › ACCA Forums › ACCA MA Management Accounting Forums › Can someone help with this question? [ Actual contribution]
A company uses standard marginal costing to monitor its performance in a period actual profit
was $142,000. Budgeted fixed overheads were $50,000 and the fixed overhead expenditure
variance was $3,000 adverse. What was the actual contribution in the period
i got 195000 by doing using this
actual contribution – X
less budgeted fixed overhead – (50000)
fixed overhead expenditure – (3000)
actual profit- 142000
but the textbook got 145000 as an answer, i dont know what i am doing wrong, can someone plz help
Assuming that you have copied the question correctly, then the answer is indeed $195,000 (and not $145,000!!).