Exercise 17-27 (Algo) Industry Volume and Market Share Variances (LO 17-3) Logan Passport Services budgeted sales of 8,300 units of its Basic Visa Service (BVS). This was based on its estimated 5 percent share of this service in the relevant regional market. Actual sales of the BVS for Logan totaled 11,350 units on total industry volume of 146,000 unit for this service. The budgeted contribution margin for BVS is $88 per unit. The actual contribution margin for BVS was $95. Required: Compute the sales activity variance, and break it down into market share variance and the industry volume variance. Note: Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option. Sales activity variance Market share variance. Industry volume variance

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Master Budget

A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making. 

Sales Budget and Selling

A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.