Question

Saved Help s Madison Corporation sells three products (M, N, and 0) in the following sales mix: 6:13. Unit price and cost data are: 10 Unit sales price Unit variable costs M N 0 $12 $16 $18 6 8 9 13:55 Total fixed costs are $852,000. The break-even point in sales dollars for the current sales mix is (round to the nearest thousand). ences Multiple Choice M $ 18,522 5852000

Answer 1

Solution M Ni O unit sales price 12. 16 12 unit variable costs 6 8 9 Unit Contribution 6 margin 8 9 contribution margin ratio 50% 50% 5017 Weighted conterbution Margin ratio = [50% * 6/10]+C 5097.X1110] + [ sobe x 3110] 50% 그 Break even point in sales dollars = fixed costs/cm Ratio 852000) 50% 1704000