Peninsula Candy Company makes three types of candy bars: Chewy, Chunky, and Choco-Lite (Lite). Sales volume for the annual budget is determined by estimating the total market volume for candy bars and then applying the company's prior year market share, adjusted for planned changes due to company programs for the coming year. Volume is apportioned among the three bars based on the prior year's product mix, again adjusted for planned changes for the coming year.

The following are the company budget and the results of operations for July.

Budget	Chewy						Chunky						Choco-Lite						Total
Sales-units (in thousands)	2,000 bars						2,000 bars						4,000 bars						8,000 bars
Sales-dollars (in thousands)		$	200					$	400					$	640					$	1,240
Variable costs			150						330						520						1,000
Contribution margin		$	50					$	70					$	120					$	240
Manufacturing fixed cost			38						32						56						126
Product margin		$	12					$	38					$	64					$	114
Marketing and administrative costs (all fixed)																					57
Operating profit																				$	57
Actual	Chewy					Chunky							Choco-Lite						Total
Sales-units (in thousands)	1,800 bars						2,000 bars						4,100 bars						7,900 bars
Sales-dollars (in thousands)		$	108					$	400					$	640					$	1,148
Variable costs			56						346						480						882
Contribution margin		$	52					$	54					$	160					$	266
Manufacturing fixed cost			37						37						58						132
Product margin		$	15					$	17					$	102					$	134
Marketing and administrative costs (all fixed)																					42
Operating profit																				$	92

Industry volume was estimated at 91.5 million bars for budgeting purposes. Actual industry volume for July was 86.925 million bars.

Required:

a. Determine the sales price and sales activity variances.

b. Break down the sales activity variance into the parts caused by industry volume and market share.