Contribution Margin Volume Variance

Iliff, Inc., produces and sells two types of countertop ovensthe toaster oven and the convection oven. Budgeted and actual data for the two models are shown below.

Budgeted Amounts:

		Toaster Oven		Convection Oven		Total
Sales:
($90 29,500)		$2,655,000
($149 15,000)				$2,235,000		$4,890,000
Variable expenses		455,000		850,000		1,305,000
Contribution margin		$2,200,000		$1,385,000		$3,585,000

Actual Amounts:

		Toaster Oven		Convection Oven		Total
Sales:
($84 24,000)		$2,016,000
($163 13,000)				$2,119,000		$4,135,000
Variable expenses		583,600		739,000		1,322,600
Contribution margin		$1,432,400		$1,380,000		$2,812,400

Required:

1. Calculate the budgeted average unit contribution margin. Round your answer to the nearest cent. Use rounded answer in subsequent computations. $ per unit

2. Calculate the contribution margin volume variance.

$ Unfavorable