labores u per unit QUESTION A: Revenue variances - Sly Bike Sayz Bicycles are the most used vehicles in the world. They can be used as; a means of transportatic for leisure tours, as well as for exercise. Sly Bike Saylz (SBS) is a retailer of hybrid bicycles. Its owner, Sal Novak Sly focuses his sales on the bicycle rider who wants to comfortably ride their bike just as easily on city streets as on beach boardwalks, or on a weekend picnic. A hybrid bike has flat handlebars, user-friendly controls, a lighter frame and quicker wheels than road bike. Sly focuses sales on the mid-range market for hybrid bikes where the consumer is willing to spend between $800 to $1,500 for a good quality bike. Sly relies on his sales manager, Hal Jarvis, to motivate his team of 10 sales staff to at least meet the annual budget. On top of a base salary and a 5 percent of revenue commission, each team member also receives an annual bonus when actual sales in units beat budgeted sales by at leas 8%. Based on market analysis and keeping up to date on trends in bicycle styles, Hal set the following budgets at the beginning of the year. BUDGET Selling Variable cost Sales Volume Model price in units Santa Fe $ 1,450 $ 1,015 4,125 Seti 1,150 782 2,750 Shrek 950 532 6,875 Total 13.750 The total sales figure represents 11% of the budgeted hybrid market in the area where SBS sells bicycles. Hal is fairly confident that the mix of each bike's sales to total is stable. It is year end and Corey, the cost accountant, has just printed off the raw data for the year and provided Sly and Hal with the following results: ACTUAL Selling Variable cost Sales Volume Model price in units Santa Fe $ 1.550 $ 1,054 4,500 Seti 1,170 819 4,125 Shrek 950 500 6,375 Total 15,000 Hal is thrilled to see that his sales team has yet again beat the budget by selling a total of 15,000 bicycles over the past 12 months. Sal has asked Corey to prepare the year end bonuses to the sales team and the company Christmas party plans have been changed to an evening dinner cruise to celebrate the achievement. Corey meets with you, the controller, to review the results and your permission to go ahead with bonuses per unit Required (show calculations) 1. Calculate the sales volume variance for all three bicycle models individually and in total (show calculations). Sante Fe Seti Shrek TOTAL 2. Calculate the sales mix variance for all three products individually and in total. Sante Fe Seti Shrek TOTAL 3. Calculate the sales quantity variance for all three products individually and in total. Sante Fe Seti Shrek TOTAL