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Hello, I have trouble with guestion 15, June 2015 exam. How to calculate act.sales at stand mix, what is standard mix here? Thank you
The standard mix is the proportion of each product in the budget volumes.
So they were budgeting on total sales of 26,400 units.
If these, 15,840/26400 = 60% were of product A, and 10,560/26,400 = 40% were of product B.
The actual total sales were 26,700 units, and so at standard mix we would have expected Product A to be 60% x 26,700 = 16,020 units, and product B to be 40% x 26,700 = 10,680 units.
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