 Industry Volume and Market Share Variances

A. Budgeted Sales Volume        

  Product
Total
  A B C
Estimated industry volume (units) 500 1667 3000
Budgeted market share 12% 20% 6% 10%
Budgeted volume (units) 100 100 100 300
B. Actual Market Share        
  Product
Total
  A B C
Actual industry volume, units 600 650 1500 2750
Actual sales (units) 120 130 150 400
Actual market share 20% 20% 10% 15%
C. Variance Due to Market Share        
  Product
Total
  A B C
(1) Actual sales (units) 120 130 150 400

(2) Budgeted shares at actual industry volume 72 130 90 292

(3) Difference 48 0 60 108
(4) Budgeted unit contribution $0.20 $0.90 $1.20 $2.30

(5) Variance due to market share $10 $- $72 $82

D. Variance Due to Industry Volume        
  Product
Total
  A B C
(1) Actual industry volume 600 650 1500 2750
(2) Budgeted industry volume 833 500 1667 3000
(3) Difference (233) 150 (167) (250)
(4) Budgeted market share 12% 20% 6%  
(5) (3 * 4) (28) 30 (10)  

$0.20 $0.90 $1.20  

(6) Unit contribution (budget)
(7) Total (5.59) 27.00 (12.02) 9.38

799
 Fixed-Cost Variances

Favorable or Unfavorable
  Actual Budget
Variance
Fixed overhead 80 75 (5)
Selling expense 57 50 (7)
Administrative expense 33 25 (8)
Total 170 150 (20)

779
 Variable Manufacturing Expense Variances

780
 Summary Peformance Report

780
 Analysis of variance in actual profit and budget profit

780
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