Problem 18.31 Contribution Margin Variance, Contribution Margin Volume Variance,
Sales Mix Variance
Haysbert Company provides management services for apartments and rental units. In general, Haysbert packages its services into two groups: basic and complete. The basic package includes advertising vacant units, showing potential renters through them, and collecting monthly rent and remitting it to the owner. The complete package adds maintenance of units and bookkeeping to the basic package. Packages are priced on a per-rental unit basis. Actual results from last year are as follows:

Contribution Margin Variance, Contribution Margin Volume Variance,Sales Mix">

Haysbert had budgeted the following amounts:

Contribution Margin Variance, Contribution Margin Volume Variance,Sales Mix">

Required:
Calculate the Contribution Margin variance and the Contribution Margin volume variance.

Sales (rental units) Selling price Variable expenses Basic 2,000 $140 $85 Complete 400 $300 S240 Sales (units) Selling price Variable expenses Basic 1,950 $145 $90 Complete 460 $290 S242