Appendix I Budgeted Operating Data Year-ended 2022 Mountain Crossover Selling Price per unit $18,500 $12,500 Variable manufacturing cost 11,200 8,960 Variable operating cost 2,480 1,890 Variable commission 5% of selling price 5% of selling price Budgeted units 1,200 4,800 Anticipated industry sales 400,000 Total units per year Appendix II Actual Operating Data Year-ended 2022 Mountain Crossover Selling Price per unit $18,130 $12,750 Variable manufacturing cost 11,425 9,230 Variable operating cost 2,350 1,850 Variable commission 5% of selling price 5% of selling price Actual units 1,320 5,500 Actual industry sales 435,000 Total units per yearJack Frost is the CEO of Snowforest Snowmobile Corporation {"Snowforest"]. The company manufactures two snowmobiles, the Mountain and the Crossover. The CEO has just received the latest industry statistics, which indicate that industry sales for snowmobiles were higher than the company had forecast when developing this year's budget. The Industry numbers were a pleasant surprise for Jack. \"if we maintain our market share, then I suspect we will have had a good year, surpassing our expectations." The Crossover had typically accounted for 80% of the company's sales in the past. Jack was hopeful that the Mountain's proportion would grow. Budgeted information is provided in Appendix I and actual information is provided in Appendix II. Snowforest is now finalizing the financial statements for the year. Based upon the information presented above, Jack has asked you to prepare an analysis of Snowforest's profitability for the year. Required: 1. What was the budgeted operating income for the current year? {2 marks] 2. What was the actual operating income for the current year? {2 marl-rel 3. Prepare a variance analysis from the information provide by calculating the following variances: a. Flexible budget variance for both products. [2 marks! b. Sales volume variance for both products. {2 marks) c. Sales quantity variance for both products. {2 marks] d. Mix variance for both products. [2 marl-rs) 4. Calculate the market size and market share variance for the snowmobiles. [4 marks} 5. Did the company realize any of the expectations mentioned by the CEO? Explain. {3 marks)