Jackson, Inc

Multiple Choice

Jackson, Inc., manufactures two products that it sells to the same market. Excerpted below are its budgeted and actual operating results for the year just completed: Industry volume was estimated to be 1,875,000 units at the time the budget was prepared. Actual industry volume for the period was 2,440,000 units. Jackson measures variances using contribution margin.
The total selling price variance of the period is:

A) $0.
B) $38,000 unfavorable.
C) $67,500 unfavorable.
D) $112,500 unfavorable.
E) $122,000 unfavorable.