The Chicago Tigers play in the American Ice Hockey League. The Tigers play in the Downtown Arena, which is owned and managed by the City of Chicago. The arena has a capacity of 15,000 seats (5,500 lower-tier seats and 9,500 upper-tier seats). The arena charges the Tigers a per-ticket charge for use of its facility. All tickets are sold by the Reservation Network, which charges the Tigers a reservation fee per ticket. The Tigers' budgeted contribution margin for each type of ticket in 2017 is computed as follows:

Lower-Tier Tickets Upper-Tier Tickets

Selling price..................................$33.......................................$18

Downtown Arena fee.........................9...........................................6

Reservation Network fee.....................4............................................5

contribution margin per ticket...........$20..........................................$ 7

The budgeted and actual average attendance figures per game in the 2017 season are as follows:

Budgeted Seats Sold Actual Seats Sold

Lower tier........................4,500....................................3,300

Upper tier........................5,500....................................7,700

Total............................10,000....................................11,000

There was no difference between the budgeted and actual contribution margin for lower-tier or upper-tier seats.

The manager of the Tigers was delighted that actual attendance was 10% above budgeted attendance per game, especially given the depressed state of the local economy in the past six months.

Required:

1. Compute the sales-volume variance for each type of ticket and in total for the Chicago Tigers in 2017. (Calculate all variances in terms of contribution margins.)

2. Compute the sales-quantity and sales-mix variances for each type of ticket and in total in 2017.

3. Present a summary of the variances in requirements 1 and 2. Comment on the results.