Please do not give solution in image format thanku Problem 18.31Contribution Margin Variance, Contribution Margin Volume Variance, Sales Mix VarianceHaysbert Company provides management services for apartments and rental units. In general, Haysbert packages its services into two groups: basicand complete. The basic package includes advertising vacant units, showing potential renters through them, and collecting monthly rent and remitting itto the owner. The complete package adds maintenance of units and bookkeeping to the basic package. Packages are priced on a per-rental unit basis.Actual results from last year are as follows:Sales (units)Selling priceVariable expensesBasic2,000$140$85Sales (rental units)Selling priceVariable expensesHaysbert had budgeted the following amounts:Complete400$300$240Required:1. Calculate the contribution margin variance.4670 FavorableBasic Complete1,950460$145$290$90$242Favorable2. Calculate the contribution margin volume variance. Round the budgeted average unit contribution margin to four decimal places. Round your finalanswer to the nearest cent.$ 536.6 Unfavorable3. Calculate the sales mix variance. Round the budgeted average unit contribution margin to four decimal places. Round your final answer to thenearest cent.

ParticularsBasicCompleteTotalSelling Price145290435Less: Variable Expenses $ 90 $…

Contribution Margin Variance, Contribution Margin Volume Variance, Sales Mix Variance Haysbert Company provides management services for apartments and rental units. In general, Haysbert packages its services into two groups: basic and complete. The basic package includes advertising vacant units, showing potential renters through them, and collecting monthly rent and remitting it to the owner. The complete package adds maintenance of units and bookkeeping to the basic package. Packages are priced on a per-rental unit basis. Actual results from last year are as follows: Sales (rental units) Selling price Variable expenses Haysbert had budgeted the following amounts: Sales (units) Selling price Variable expenses Basic 2,000 $140 $85 Required: 1. Calculate the contribution margin variance. $ 4670 Favorable $ Basic 1,950 $145 $90 Complete 400 $300 $240 Favorable 2. Calculate the contribution margin volume variance. Round the budgeted average unit contribution margin to four decimal places. Round your final answer to the nearest cent. $ 536.6 Unfavorable Complete 460 $290 $242 3. Calculate the sales mix variance. Round the budgeted average unit contribution margin to four decimal places. Round your final answer to the nearest cent.

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter18: Pricing And Profitability Analysis

Section: Chapter Questions

Problem 31P: Haysbert Company provides management services for apartments and rental units. In general, Haysbert...