Company ABC had the following budget for Period 1:

Actual results for Period 1:

 Required:

(i) Calculate the:

(a) Sales margin (profit) price variance

(b) Sales margin (profit) mixture variance

(c) Sales margin (profit) quantity variance (15 marks)

(ii) In view of the actual results, state (with comments) what factors you would wish to investigate. ( 5 marks)

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