E14-23 (similar to) Question Help The Chicago Hawks play in the American Ice Hackey League. The Hawks play in the Downtown Arena, which is owned and managed by the City of Chicago. The arena has a capacity of 17,500 seats (6,500 lower-tier seats and 11,000 upper-tier seats). The arena charges the Hawks a per-ticket charge for use of its facility. All tickets are sold by the Reservation Nework, which charges the Hawks a reservation fee per ticket. The Hawks' budgeted contribution margin for each type of ticket in 2013 is computed as follows: (Click the icon to view the budgeted contribution margin data.) The budgeted and actual average attendance figures per game in the 2013 season are as follows: (Click the icon to view the budgeted and actual average attendance figures.) There was no difference between the budgeted and actual contribution margin or lower-tier or upper ter seats The manager o booming state of the local economy in the past six months. Read the requirements. he Hawks was unhappy that actual a e dance was 4% below budgeted attendance per game. especialy gr en he Requirement 1. Compute the sales-volume variance for each type of ticket and in total for the Chicago Hawks in 2013. (Calculate all variances in terns of contribution margins.) Determine the formula for sales-volume variance, then compute the sales-volume variance for each type of ticket and in total for the Chicago Hawks in 2013. (Calculate all variances n tems of contribution margins.) Label each variance as favorable (F) or unfavorable (U). Sales-volume variance Data Table i Requirements - Data Table Lower-Tier Tickets Upper-Tier Tickets S 12 Selling price Downtown Arena fee Reservation Network fee Contribution ma 36 1. Compute the sales-volume variance for each type of ticket and in total for the Chicago Hawks in 2013. (Calculate all variances in terms of contribution margins.) Budgeted Seats Sold Actual Seats Sold 10 Lower tier Upper tier Total 5,500 ,000 12,500 4,200 7,800 12,000 2. Compute the sales-quantity and sales-mix variances for each type of ticket a in total in 2013. 19 rgin per ticket 3. Comment on the variance results from requirements 1 and 2. Print Done Print Done PrintDone