The Vargas Company Had the Following Expectations for the Year

Multiple Choice

The Vargas Company had the following expectations for the year:
$\begin{array}{ll}\text {Budgeted results for the year were: }\\\text {Total market for the product}&175,000 \mathrm{units}\\\text { Vargas' budgeted sales } & \$ 1,763,125 \\\text { Variable costs per unit } & \$ 18.75 \\\text { Selling price per unit } & \$ 32.50\\\text { Actual results for the year were: }\\\text { Total market for the product}&166,250 \mathrm{units}\\\text { Vargas's actual sales}&56,525\\\text { Total Variable costs}&\$1,073,975\\\text { Total sales}&\$1,752,275\end{array}$
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What is Vargas' industry volume variance?

A) $37,296.88.
B) $40,906.25.
C) $35,700.00.
D) $32,550.00.