3 50 points eBook " Hint Ask References Springwater Brewery has two main products: premium and regular ale. Its operating results and master budget for 20XX (000s omitted) follow: Barrels Sales Variable expenses Contribution margin Fixed expenses Operating income Operating Results of 20XX Regular 660 Master Budget for 20XX Regular Premium 280 $ 42,000 22,400 420 $ 50,400 29,400 Premium Total 220 880 $ 35,200 17,600 $ 17,600 11,000 $ 75,900 46,200 $ 29,700 8,000 $ 111,100 63,800 $ 6,600 $ 21,700 $ 28,300 $ 8,600 $ 13,000 $ 47,300 19,000 $ 19,600 11,000 $ 21,000 8,000 Total 700 $ 92,400 51,800 $ 40,600 19,000 $ 21,600 Pam Kuder, CEO, expected the total industry sales to be 2,500,000 barrels during the period. After the year, Mark Goldfeder, the controller, reported that the total sales for the industry were 2,750,000 barrels. Required: Calculate the following: 1. Selling price variances for the period for each product and for the firm. 2. Sales volume variances for the period for each product and for the firm. 3. Sales quantity variances for each product and the firm. 4. Sales mix variances for the period for each product and for the firm. 5. The sum of the sales quantity variance and sales mix variance. Also, verify that this total equals the sales volume variance. 6. Market size variance for the period. 7. Market share variance for the period. 8. The sum of the market size variance and market share variance. Also, verify that this total equals the sales quantity variance. (Enter your answers in thousands of dollars.) 1. Selling price variance - Premium 2,200 Favorable Selling price variance - Regular Total selling price variance $ (3,300) Unfavorable $ (1,100) Unfavorable 2. Sales volume variance - Premium Sales volume variance - Regular Total sales volume variance $ (9,000) Unfavorable $ 28,800 Favorable $ 19,800 Favorable 3. Sales quantity variances - Premium $ 10,800 Favorable Sales quantity variances - Regular $ 12,960 Favorable (Enter your answers in thousands of dollars.) Answer is complete but not entirely correct. 1. Selling price variance - Premium $ 2,200 Favorable Selling price variance - Regular $ (3,300) Unfavorable Total selling price variance $ (1,100) Unfavorable 2. Sales volume variance - Premium $ (4,800) Unfavorable Sales volume variance - Regular $ 28,800 Favorable Total sales volume variance $ 19,800 Favorable 3. Sales quantity variances - Premium $ 10,800 Favorable Sales quantity variances - Regular $ 12,960 Favorable Total sales quantity variance $ 23,760 Favorable 4. Sales mix variance - Premium $ (19,800) Unfavorable Sales mix variance - Regular $ 15,840 Favorable Total sales mix variance $ FA (3,960) Unfavorable 5. Sales volume variance $ 19,800 Favorable 6. Market size variance $ 19,170 Favorable 7. Market share variance $ 6,380 Favorable 8. Sales quantity variance $ 25,550 Favorable