Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following data for Romero Products Inc. are available: For the Year Ended December 31 Actual Planned DifferenceIncrease or (Decrease) Sales $2,766,100 $2,528,300 $237,800 Variable
The following data for Romero Products Inc. are available:
For the Year Ended December 31 | Actual | Planned | DifferenceIncrease or (Decrease) | |||
Sales | $2,766,100 | $2,528,300 | $237,800 | |||
Variable costs: | ||||||
Variable cost of goods sold | $1,472,600 | $1,331,700 | $140,900 | |||
Variable selling and administrative expenses | 278,600 | 289,500 | -10,900 | |||
Total variable costs | $1,751,200 | $1,621,200 | $130,000 | |||
Contribution margin | $1,014,900 | $907,100 | $107,800 | |||
Number of units sold | 19,900 | 19,300 | ||||
Per unit: | ||||||
Sales price | $139 | $131 | ||||
Variable cost of goods sold | 74 | 69 | ||||
Variable selling and administrative expenses | 14 | 15 |
Prepare an analysis of the sales quantity and unit price factors.
Romero Products Inc. | ||
Contribution Margin AnalysisSales | ||
For the Year Ended December 31 | ||
Effect of changes in sales: | ||
Sales quantity factor | $fill in the blank 1 | |
Unit price factor | fill in the blank 2 | |
Total effect of changes in sales | $fill in the blank 3 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started