What is the flexible budget variance for operating income

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Question - Zany Brainy projected current year sales of 50,000 units at a unit sale price of $20.00. Actual current year sales were 55,000 units at $22.00 per unit. Actual variable costs, budgeted at $14.00 per unit, totaled $15.00 per unit. Budgeted fixed costs totaled $400,000 while actual fixed costs amounted to $420,000. What is the flexible budget variance for operating income?

A. $65,000 favorable

B. $65,000 unfavorable

C. $35,000 unfavorable

D. $35,000 favorable

Reference no: EM132075133

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