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Market Share variance, Market Size variance Budgeted unit sales for the entire countertop oven industry were 2,500,000 (of all model types), and actual unit sales for the industry were 2,550,000. Iliff, Inc., produces and sells two types of countertop ovens-the toaster oven and the convection oven. Budgeted and actual data for the two models are shown below. Budgeted Amounts: Toaster Convection Oven Oven Total Sales: ($90 x 25,000) $2,250,000 ($150 x 15,000) $2,250,000 $4,500,000 Variable expenses 500,000 750,000 1,250,000 Contribution margin $1,750,000 $1,500,000 $3,250,000 Actual Amounts: Toaster Convection Oven Oven Total Sales: ($88 x 25,800) $2,270,400 ($160 x 14,000) $2,240,000 $4,510,400 Variable expenses 541,800 742,000 1,283,800 Contribution margin $1,728,600 $1,498,000 $3,226,600 Provided the following information: Budgeted Actual Sales in units, toaster oven 25,000 25,800 Sales in units, convection oven 15,000 14,000 Total contribution margin $3,250,000 Budgeted average unit contribution margin $81.25 Required: 1. Calculate the market share variance (take percentages out to four significant digits. Use the rounded percentages for subsequent requirements.) $ Unfavorable 2. Calculate the market size variance. $ Favorable 3. What if Iliff actually sold a total of 41,000 units (in total of the two models)? How would that affect the market share variance? It would change from unfavorable to favorable. The market size variance? There would be no change

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