The Cellular Phone Division of Stegall Company Had Budgeted Sales

Multiple Choice

The cellular phone division of Stegall Company had budgeted sales of $950,000 and actual sales of $900,000. Budgeted expenses were $600,000 while actual expenses were $550,000. Based on this information, a report prepared for the manager of this profit center would show:

A) A favorable revenue variance.
B) A favorable cost variance.
C) Both a favorable revenue variance and a favorable cost variance.
D) None of these.