Essay About Best Company And Case Study

Best Company, Inc
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CASE STUDY #3BEST COMPANY, INCJUNE 30, 2015SUMMARY OF CONTRIBUTION MARGIN VARIANCESJune 2015Current MonthPrice VarianceFlexibleBudgetQty VarianceNet Variance.# of pieces  # of pieces  # of units           76,840.00                           –              76,840.00            68,195.00             8,645.00 Average SP per unit $                90.15  $               (0.78) $                90.93  $                90.93 Average VC per unit $                61.03  $               (1.20) $                59.83  $                59.83 Change in SP vs. VC $                29.12  $               (1.99) $                31.10  $                31.10  $              31.10  Variance $  (152,578.78) $    268,890.53  $    116,311.75 ActualPrice VarianceFlexibleBudgetQty VarianceNet VarianceNet Sales $  6,927,282.05  $     (60,097.18) $  6,987,379.23  $  6,201,253.60  $    786,125.63  $    726,028.45 Variable Costs $  4,689,861.00  $     (92,481.60) $  4,597,379.40  $  4,080,144.30  $ (517,235.10) $ (609,716.70)Contribution Margin $  2,237,421.05  $  (152,578.78) $  2,389,999.83  $  2,121,109.30  $    268,890.53  $    116,311.75 Contribution Margin %32.30%-1.91%34.20%34.20%0.00%-1.91%You are the Controller of Best Company, Inc. and your Senior Cost Accountant has prepared a brief summary of the June 2015 month end contribution margin and variance analysis for your monthly reporting. Best Company manufactures furniture and has two factories located in Greensboro, SC and Lexington, KY. It has over 250 employees and sells to major retailers such as Bob’s Discount Furniture, Boscov’s (PA) and Jordan’s (MA)