Market-share and market-size variances (continuation of 14-25). Soda-King prepared the budget for 2014 assuming a 12.5% market share based on total sales in the western region of the United States. The total soft drinks market was estimated to reach sales of 10 million cartons in the region. However, actual total sales volume in the western region was 12.3 million cartons.
Calculate the market-share and market-size variances for Soda-King in 2014. (Calculate all variances in terms of contribution margin.) Comment on the results.
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