Black Tyres Flexible Budget Year Ended 30 June 2018 flexible budget variance budget variance actual total variance 30,168 sales revenue S000 29,608 1,528 31,136 (22,060) 9,076 (967) 561 (21,012) 8,595 (22,038) 8,131 (558) (1,025) (465) 10 variable costs S000 (1,048) 22 contribution margin S000 480 (945) non-variable costs S000 (568) 8,027 (568) 8,508 10 net operating profit $000 480 (935) 7,573 (455) Product Breakdown Standard Tyre (15,642) sales volume tyres 205,000 189,358 189,358 (2.721) 0.180 (2.721) selling price S per tyre Sper tyre S per tyre 84.460 84.460 81.739 variable costs (60.522) (60.522) (60.342) 0.180 contribution margin 23.938 23.938 (2.541) 21.397 (2.541) High Performnce Tyre 22,595 ??? sales volume tyres S per tyre S per tyre S per tyre 97,500 120,095 selling price (3.763) (0.099) (3.862) (3.763) (0.099) (3.862) 126.087 ??? 122.324 (88.261) variable costs ??? (88.360) contribution margin ??? 37.826 33.964 Both Products Combined sales volume tyres 302,500 6,953 ??? 309,453 (3.125) (0.387) (1.753) (2.140) selling price S per tyre S per tyre S per tyre 97.877 2.738 ??? 97.490 variable costs (69.463) (1.825) ??? 0.072 (71.215) contribution margin 28.414 0.913 ??? (3.054) 26.274