Sales volume variance

Sales volume variance,

Definition of Sales volume variance:

  1. The difference between the number of budget units sold and the actual number of units sold. This amount is many times the profit per unit (margin). For example, if a company sells more than 100 expected units with a profit per unit of 100 3, the difference in sales volume is $ 300 (100 units x $ 3 / unit). When calculating a change in sales volume, the unit profit is used instead of the sale price.

Meaning of Sales volume variance & Sales volume variance Definition