CLICK HERE TO SAVE YOUR WORK B D E 1 F G H 1 Revenue Variance Analysis (18 Marks) 2 3 ABC Co. manufactures widgets and has the following operating information for the past 4 year: 5 6 Actual Data Actual Total Contribution Margin 7 Product Actual Unit Line 8 Sales 9 2,640 10 B 2.160 11 4.800 12 Actual Unit Contribution Margin $90 $65 $237,600 $140,400 $378,000 14 13 Budgeted Data Product Budgeted Unit Budgeted Unit Line Budgeted Total Contribution Sales Contribution Margin Margin 15 A 2,000 $95 $190,000 16 B 3.000 $50 $150.000 17 5,000 $340,000 18 Industry volume was estimated at 50,000 Widgets. Actual industry sales were 53,000 19 Widgets. 20 21 Required: (1 to 4) 22 1. Calculate the sales mix variance and the sales quantity variance for each of the product 23 line and in total for ABC Co. (Calculate all variances in terms of contribution margins.) 8 marks) 24 25 26 27 28 29 30 CK HERE TO SAVE YOUR WORK D E F A B Required: (1 to 4) G H 1. Calculate the sales mix variance and the sales quantity variance for each of the product line and in total for ABC Co. (Calculate all variances in terms of contribution margins.) 18 marks) 2. Calculate market share and market size variances for the ABC Co. as a whole. (Calculate all variances in terms of contribution margins.) (4 marks). HERE TO SAVE YOUR WORK B D E F G H 2. Calculate market share and market size variances for the ABC Co. as a whole. (Calculate all variances in terms of contribution margins.) (4 marks). 3. What is the sales volume variance for ABC Co. for last year? (1 mark) 4. Comment on he overall ABC Co. performance over the year and what may have caused the variances calculated in required 1-2. What recommendation(s) can you make for ABC? Be specific. (5 marks) End of