The Penguins play in the North American Ice Hockey League. The Penguins play in the Downtown Arena? (owned and managed by the City of? Downtown), which has a capacity of seats ?( ?lower-tier seats and ?upper-tier seats). The Downtown Arena charges the Penguins a?per-ticket charge for use of the facility. All tickets are sold by the Reservation? Network, which charges the a reservation fee per ticket.

There was no difference between the budgeted and actual contribution margin for? lower-tier or? upper-tier seats. The manager of the was that actual attendance was ?% budgeted attendance per? game, especially given the state of the local economy in the past six months

Requirement 1. Compute the? sales-volume variance for each type of ticket and in total for the Penguins in 2018.

?(Calculate all variances in terms of contribution margins?.) Determine the formula for? sales-volume variance. Then compute the?sales-volume variance for each type of ticket and in total for the Penguins in 2018. Label each variance as favourable? (F) or unfavourable (U).

o Budgeted contribution margin information - Lower-Tier Tickets Upper-Tier Tickets Selling price $ 36 $ 15 Downtown Arena fee 9 4 Reservation Network fee 5 2 Contribution margin per ticket H u H Average attendance figures X Budgeted Seats Sold Actual Seats Sold Lower-tier 4,000 3,300 Upper-tier 6,000 7,700 Total 10,000 11,000 Print Done0 Required 1. Compute the sales-volume variance for each type of ticket and in total for the Penguins in 2018. (Calculate all variances in terms of contribution margins.) 2. Compute the sales-quantity and sales-mix variances for each type of ticket and in total in 2018. 3. Present a summary of the variances in requirements 1 and 2. Comment on the results. Print Done