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A company has three basic styles of eyewear: A113, B243, and C112. The budgeted sales and contribution margins (CM) along with the actual activity for
A company has three basic styles of eyewear: A113, B243, and C112.
The budgeted sales and contribution margins (CM) along with the actual activity for the last period are as follows:
Actual Budgeted
Style Unit sales Unit CM Unit sales Unit CM
A113 25,200 $ 56 24,000 $ 60
B243 35,400 $ 78 37,000 $ 80
C112 26,000 $ 90 28,000 $ 95
86,600 89,000
- Frames For You had budgeted based on capturing a 5% share of the predicted market of 1,780,000 frames.
- The actual market size was 1,790,000 frames.
a. What is the market size variances ?
b. What is the market share variances ?
- Use five decimal points for market share percentage calculation and unrounded in the calculation to end with four decimal points for the contribution margin.
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