A companys budgeted sales for last month were 10,000 units with a standard selling price of $20 per unit and a standard contribution of $8 per unit. Last month actual sales of 10,500 units at an average selling price of $19.50 per unit were achieved.

What were the sales price and sales volume contribution variances for last month?

Sales price variance is:

1. $5,250 adverse

2. $5,000 adverse

Sales volume contribution variance is:

3. $4,000 adverse

4. 4,000 adverse