Sales Volume Variance

The difference between the budgeted quantity of units sold and the actual quantity of units sold. This figure is multiplied by the profit per unit (margin). For example, if a company sold 100 more units than it expected at a profit per unit of $3, its sales volume variance is $300 (100 units x $3/unit). When calculating the sales volume variance, the profit per unit is used, not the selling price.

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