Sulert, Inc., produces and sells gel-filled ice packs. Sulert's performance report for April follows:
Actual Budgeted
Units sold.............................290,000.............................300,000
Sales................................$1,450,000........................$1,515,000
Variable costs.......................652,500.............................636,300
Contribution margin............$ 797,500..........................$ 878,700
Market size (in units) ...........1,250,000..........................1,200,000
Required:
1. Calculate the Contribution margin variance and the Contribution margin volume variance.
2. Calculate the market share variance and the market size variance. (CMA adapted)