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Hi John,
In the Carad and Co example, they asked for the sales volume variance.
In the answers I noticed that they used actual units instead of standard sales mix for actual total against budgeted units.
Is this because the Plasma and LCD are separate products and not linked with one another?Many thanks!
For the sales volume variance we always compare the actual units with the budget units.
It is only if we are asked to analyse the variance into the sales quantity and sales mix variances that the standard mix becomes relevant.
Have you watched me free lectures on this?
Yes I have watched the video and its very useful. I think I just assume the question is asking for more information that it is. Thank you 🙂
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