Marketing variance analysis and interpretation Aegean Marine Sales carries several lines of boats and outboard motors. The owner-manager of the company prepared standard sales and cost data for each product line sold. One line of motors offered by Aegean Marine is available in 4-, 6-, 9.9-, and 15-horsepower models. Expected sales and cost data for the products as prepared by the owner are presented below:

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REQUIRED Unit Unit Unit Product Sales Price Unit Total Variable Contribution Contribution Cost Margin Margin 4 HP. 10 $ 550 $400 $150 $ 1,500 6 HP. 40 750 500 250 10,000 9.9 HP. 30 980 650 330 9,900 15 HP. 20 1,200 800 400 8,000 Totals 100 $29,400 During the year, Aegean Marine Sales experienced a somewhat different sales mix than expected, but the company sold more motors in total than standard. The actual results for the year were: Unit Product Units Unit Sold Price Unit Total Variable Contribution Contribution Cost Margin Margin 4 HP. 22 $ 540 $410 $130 $ 2,860 6 HP. 55 760 520 240 13,200 9.9 HP. 12 940 640 300 3,600 15 HP. 15 1,250 810 440 6,600 Totals 104 $26,260 a. Prepare a marketing variance analysis report in good form for the outboard motor line. b. Explain in everyday language the results of your variance analysis, with special emphasis on the cause of any differences between the expected and actual performance of the product line.