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Contribution margin analysissales Instructions Labels and Amount Descriptions Contribution Margin Analysis X Instructions The following data for Romero Products Inc. are available: 1 For the

Contribution margin analysissales

Instructions

Labels and Amount Descriptions

Contribution Margin Analysis

X

Instructions

The following data for Romero Products Inc. are available:

1

For the Year Ended December 31

Actual

Planned

Difference Increase or (Decrease)

2

Sales

$9,120,000.00

$9,020,000.00

$100,000.00

3

Variable costs:

4

Variable cost of goods sold

$3,363,000.00

$3,157,000.00

$206,000.00

5

Variable selling and administrative expenses

703,000.00

861,000.00

(158,000.00)

6

Total variable costs

$4,066,000.00

$4,018,000.00

$48,000.00

7

Contribution margin

$5,054,000.00

$5,002,000.00

$52,000.00

8

Number of units sold

38,000.00

41,000.00

9

Per unit:

10

Sales price

$240.00

$220.00

11

Variable cost of goods sold

88.50

77.00

12

Variable selling and administrative expenses

18.50

21.00

Prepare an analysis of the sales quantity and unit price factors. Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

X

Labels and Amount Descriptions

Labels
December 31
Effect of changes in sales
Effect of changes in selling and administrative expenses
Effect of changes in variable cost of goods sold
For the Year Ended December 31
Amount Descriptions
Sales quantity factor
Total effect of changes in sales
Unit cost factor
Unit price factor
Variable cost quantity factor

X

Contribution Margin Analysis

Shaded cells have feedback.

Prepare an analysis of the sales quantity and unit price factors. Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign.image text in transcribed

Romero Products Inc. Score: 18/30 Contribution Margin Analysis-Sales For the Year Ended December 31 1Effect of changes in sales: 2 Sales quantity factor 3 Unit price factor Total effect of changes in sales

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