2 3 Milestone Two - Contribution Margin Analysis 4 5 6 COLLARS LEASHES HARNESSES 8 Sales Price per Unit S 24.00 S 26.00 30.00 9 Variable Cost per Unit 9.10 12.10 14.60 11 Contribution Margin $ 14.90 S 13.90 $ 15.40 12 14 15 16 17Milestone Three - Variance Analysis Data for Variance Analysis: Budgeted Budgeted Actual Actual (Standard) (Standard) Hours/Qty Rate Hours/Qty Rate Labor $ 16.50 9 .0 1 Materials .2 3 .4 .5 Variances for Collar Sales Favorable/ 6 Variance Unfavorable Direct Labor Time Variance .8 (Actual Hours - Standard Hours) x Standard Rate S 9 10 Direct Labor Rate Variance (Actual Rate - Standard Rate) x Actual Hours S Direct Materials Quantity/Efficiency Variance (Actual Quantity - Standard Quantity) x Standard Price S UT Direct Materials Price Variance (Actual Price - Standard Price) x Actual Quantity S .8