Question

even point in units for ulriple products. range-finder than Range- Finder E6.9 (LO 2), AP Tiger Golf Accessories sells golf shoes, gloves, and a laser-guided range-find measures distance. Shown below are unit cost and sales data. Pairs of Pairs of Shoes Gloves Unit sales price $100 $30 $260 Unit variable costs 200 Unit contribution margin $ 60 Sales mix 10% Fixed costs are $620,000. Instructions a. Compute the break-even point in units for the company. b. Determine the number of units to be sold at the break-even point for each product line. c. Verify that the mix of sales units determined in (b) will generate a zero net income. E6.10 (LO 2), AP Personal Electroniy sello nr in dollars

Answer 1

Ansuer Break even point n ung :- Caj welghted average contri butiòn maagin $3 . Breakeven pantin units FIXed costs weghted average contnbution margin $620c00 $31 a0,000 units Determnahon ot number of umts to Le Sold at te breakeven pormt for each product line:- tooo paui of shoes ao,0o0 units x 3°. = Shoes ((000 pau1 oF glove 20,000 unuls x 55 Gloua 2000 range hndes ange pinder:- veriA caton shoes (tooox uo) $2 80,000 Gloves coo 20) = 220,00o t120/0o0 Range findes (2000x 460) Total Cntibution mag 620,000 len axed Coss NC Inome Thanles