Debbie's Delight, Inc., operates a chain of cookie stores. Budgeted and actual operating data of its three Chicago stores for August 2006 are as follows:

Budget for August 2006

Actual for August 2006

Debbie's Delight focus.es on contribution margin in its variance analysis.
1. Compute the total sales-volume variance for August 2006.
2. Compute the total sales-mix variance for August 2006.
3. Compute the total sales-quantity variance for August 2006.
4. Comment on your results in requirements 1, 2, and 3?

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Sales Volume Contribution Margin per Pound Variable Cost per Pound $2.50 2.70 2.90 3.00 3.40 Selling Price per Pound Chocolate chip Oatmeal raisin Coconut White chocolate Macadamia nut S4.50 5.00 5.50 6.00 6.50 $2.00 2.30 2.60 3.00 3.10 in Pounds 45,000 25,000 10,000 5,000 15,000 100,000 Sales Volume Selling Price per Pound $4.50 5.20 5.50 6.00 7.00 Variable Cost per Pound Contribution Margin per Poundin Pounds Chocolate chip Oatmeal raisin Coconut White chocolate Macadamia nut $2.60 2.90 2.80 3.40 4.00 $1.90 2.30 2.70 2.60 3.00 57,600 18,000 9,600 13,200 21,600 120,000