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Top Hat Tuxedos sells three types of formal wear, Cummerbunds, Pocket Squares and Spats. The budgeted and actual sales and contribution margins for the

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Top Hat Tuxedos sells three types of formal wear, Cummerbunds, Pocket Squares and Spats. The budgeted and actual sales and contribution margins for the month are as follows: Product Budget Budget Budget Sales $/unit VC/Unit CM/Unit Budget Units sold Cummerbunds $125 $15 $110 50 Pocket Squares $40 $5 $35 200 Spats $60 $15 $45 5 Product Actual Actual Actual Actual Sales $/unit VC/Unit CM/Unit Units sold Cummerbunds $120 $17 $103 60 Pocket Squares $35 $5 $30 300 Spats $30 $15 $15 10 (10 marks) Management is pleased that there is an increase in sales of cummerbunds -- the most profitable product. Calculate the Sales Mix and Sales Quantity Variance for each product. Was this a good decision to increase the cummerbund sales?

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