I need help with all A-D I want to compare and make sure I am doing...

Question

Question

I need help with all A-D I want to compare and make sure I am doing it right.

Answer 1

Answer #1

A.

Formula for Break Even point (in units)= Fixed cost/Contribution in units

Therefore, BEP(UNITS)= (525000+400000)/31.5*=29319 units

*1577350/50000=$31.55

BEP(Revenue): Product A=29319*140/5= $820932

Product B= 29319*80*4/5= $1876416

B.

Cost Volume Profit Chart

C.

If sales Mix changes:

Answer 2

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