The situation
The supplier budgets 2,000 cartons at ₹100 and sells 1,750 at ₹112.
Your task
Separate the revenue impact of volume and price.
Reveal step-by-step solution
Set up the problem
Budget revenue is ₹200,000. Actual is ₹196,000.
Work through the numbers
Volume effect at budget price = −250 × ₹100 = −₹25,000. Price effect at actual volume = ₹12 × 1,750 = +₹21,000.
Interpret the result
The bridge reconciles to −₹4,000. Check whether discount policy or customer mix contributed to lost volume.
What to remember
State the bridge convention and check that the components add to actual less budget.