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Question - Gourmet Aroma Coffee House has an exclusive contract with Columbia exporters. Two brands of gourmet coffee are imported, Morning Thunder (MT) and Evening Tender (ET). The following data are provided for the current fiscal year:
Budgeted
Operating Results
MT
ET
Price per pound
$30
$90
$40
$46
Variable cost per pound
10
35
37
53
Sales (in pounds)
3,300
3,260
5,000
The total market was estimated to be 73,000 pounds at the time of budget. The actual total market for the year is 68,000 pounds.
Required - What is ET's contribution margin sales volume variance?
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