Gevorg's Electronics Manufactures TVs and DVDRs Required:
Compute the Following Variances in Terms of the Contribution

question 90

Essay

Gevorg's Electronics manufactures TVs and DVDRs.During April,the following activities occurred:
$$\begin{array} { l r r } & \text { TVs } & \text { DVDRs } \\\hline \text { Budgeted units sold } & 19,404 & 72,996 \\\text { Budgeted contribution margin per unit } & \$ 40 & \$ 75 \\\text { Actual units sold } & 22,000 & 80,000 \\\text { Actual contribution margin per unit } & \$ 45 & \$ 76\end{array}$$ Required:
Compute the following variances in terms of the contribution margin.
a.Determine the total sales-mix variance.
b.Determine the total sales-quantity variance.
c.Determine the total sales-volume variance.

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