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Hi John Moffat,
I was doing calculation of Sales Volume Variance in the June 2012 exam question 4 BPP.
In your online opentuition calculation was: Fall in Material:(W1) 100 units * $44 = 4,400 (a)
Market Share: ??(W2) 60 units * $44= 2,640 (F).
I did own working is it correct how you arrived to this figure?W1: 1,000 units *10% decline = 100
W2: sales $ 80,000 – (80,000*25%)=$60,000.Is the figure $44 equal to $44,000 which I saw in the BPP Kit!?
Thank you very much.
My lecture is working through the original exam question.
The version in the BPP Revision Kit is a “cut-down” version in order to make it 10 marks. (The original question was 25 marks)In the original question you were asked for a full statement reconciling the actual contribution with the budget contribution and the budget contribution of $44,000 was given in the question.
If you are watching any of my lectures working through past exam questions then you need to download the actual question from the ACCA website.
(Practicing on the actual questions is better than using “cut-down” versions anyway 🙂 )Thank you John Moffat for the information ! I will certainly download it from ACCA website.
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