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sales price variance

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › sales price variance

  • This topic has 3 replies, 2 voices, and was last updated 5 years ago by John Moffat.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • September 23, 2020 at 5:03 pm #586473
    Adit227
    Participant
    • Topics: 8
    • Replies: 16
    • ☆

    Sir, I have query related to open tuition MA revision mock section B question2(b). in this question it is asked which are the variance which will be different if company changes from absorption to marginal costing:

    my question is why would the sales price variance be different in marginal costing in comparison to absorption costing?

    September 24, 2020 at 8:57 am #586518
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54758
    • ☆☆☆☆☆

    The sales price variance will not be different.

    The only variance of those listed that will change is the sales volume variance (which is what the answer also says).

    September 24, 2020 at 11:02 am #586537
    Adit227
    Participant
    • Topics: 8
    • Replies: 16
    • ☆

    Yeah sir, but it shows in answer.

    September 24, 2020 at 12:34 pm #586544
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54758
    • ☆☆☆☆☆

    No it does not – the correct answer is shown as being the sales volume variance !!

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