14-38: Variance analysis, sales-mix and sales-quantity variances. Miami Infonautics, Inc. produces handheld Windows CEM.compatible organizers Miami Infonautics markets three different handheld models: PalmPro is a souped-up version for the executive on the go, PalmCE is a consumer-oriented version, and PalmKid is a stripped-down version for the young adult market. You are Miami Infonautics' senior vice president of marketing. The CEO has discovered that the total contribution margin came in lower than budgeted, and it is your responsibility to explain to him why actual results are different from the budget. Budgeted and actual operating data for the company's third quarter of 2017 are as follows: Budgeted Operating Bata. Third Quarter 2017 Variable Cost Selling Price per Unit PalmPro $373 $181 PalmCE 100 Palm Kid 140 Contribution Margin per Unit $192 170 Sales Volume in Units 10.215 270 102,150 Actual Operating Date, Third Quarter 2017 Variable Cost Selling Price per Unit Palm Pro $370 $175 PalmCE Palmid 110 Contribution Margin per Unit $ 195 Sales Volume in Units 12,380 34 18.410 103.000 Miami Infonautics' senior vice president of marketing prepared his budget at the beginning of the third quarter assuming a 25% market share based on total sales. Foolinstead Research estimated that the total handheld-organizer market would reach sales of 408,600 units worldwide in the third quarter. However, actual sales in the third quarter were 515,000 units. Required: 1. Compute the total sales-mix variance for August 2017 2. Compute the total sales-quantity variance for August 2017