ents On wey 1. The director of a large regional reference laboratory was reviewing the service's performance over the past year. Marketing Performance Summary and Budget Gross Revenues Less Discounts Net Revenue Cost of Goods Sold Gross Marketing Contribution Direct Marketing Costs: Net Marketing Contribution Budget $3,500,000 325,000 3,175,000 1,150,500 2,024,500 870,000 1,154,500 Actual $3,500,000 350,000 3,150,000 1,400,500) 1,749,500 870,000 879,500 2. Some of the business was to managed care plans and to large-volume users that resulted in a discount of $350,000, which was $25,000 more than anticipated due to intense competition. The cost of providing the lab testing was $1,400,500, which was $250,000 higher than expected. Direct costs for salaries was $870,000, 3. Calculate the following: Product Mix Variance 4. Price Variance 5. How would you adjust future operations to improve performance and decrease the variance