The following data for Romero Products Inc. are available:

For the Year Ended December 31	Actual	Planned	Increase or (Decrease)
Sales	$9,000,000	$8,815,000	$185,000
Less:
Variable cost of goods sold	$3,660,000	$3,440,000	$220,000
Variable selling and administrative expenses	720,000	860,000	(140,000)
Total variable costs	$4,380,000	$4,300,000	$80,000
Contribution margin	$4,620,000	$4,515,000	$105,000
Number of units sold	40,000	43,000
Per unit:
Sales price	$225	$205
Variable cost of goods sold	91.50	80
Variable selling and administrative expenses	18.00	20

Prepare an analysis of the sales quantity and unit price factors. Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Romero Products Inc.

Contribution Margin AnalysisSales

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