Bryan Corp. has two departments: Wholesale and Retail. The following information is available: Wholesale Retail Total Actual sales (in units) 20,000 30,000 50,000 Budgeted sales 15,000 45,000 60,000 Budgeted contribution margin (per unit) $5 $3 What is the sales-quantity variance for the retail division

The sales-quantity variance for the Retail Division of Bryan Corp. is 15,000 units (unfavorable).

Data and Calculations:

Divisions                                               Wholesale      Retail         Total

Actual sales (in units)                              20,000      30,000     50,000

Budgeted sales                                       15,000       45,000     60,000

Budgeted contribution margin (per unit)     $5               $3

Sales-quantity variance                         5,000 F    15,000 U   10,000 U

Sales-quantity variance for the Retail Division = 15,000 units U (45,000 - 30,000).

Thus, the Retail Division recorded an unfavorable sales-quantity variance of 15,000 units.

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