Q17Q7 Exercise 17-28 (Algo) Industry Volume and Market Share Variances (LO...
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Q17Q7
Exercise 17-28 (Algo) Industry Volume and Market Share Variances (LO 17-3) Piper Products sold 419,000 units during the last period when industry volume totaled 2.93 million units. The company originally expected to sell 455,500 based on a budgeted market share of 15 percent. The budgeted selling price was $14 per unit. Budgetec variable costs were $6 per unit. Budget fixed costs were $1,900,000 and applied based on units produced. Required: Compute the sales activity variance, and break it down into market share variance and the industry volume variance. Note: Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option
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