Explain how a shift in the sales mix can affect the break-even point and net operating income. Please explain with some examples.
Explain how a shift in the sales mix can affect the break-even point and net operating...
Explain how a shift in the sales mix could result in both a higher break-even point and a lower net income.
Uncertainty regarding costs, prices, and sales mix affect the break-even point. True or False?
Mix and Break-Even sales the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Data related Unit Selling Price Unit Variable Cost Products Sales Mix 40% Laptops $200 $140 Tablets 430 200 60% The estimated fixed costs for the current vear are $829.440 Required: 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach ebreak-even point for the current vear...
Calculator Break-Even Point in Units for a Multiple Product Firm Amount Descriptions Sales Mix and Break-Even Point Instructions Suppose that Head-First Company now sells both bicycle helmets and motorcycle helmets. The bicycle helmets are priced at $72 and have variable costs of $42 each. The motorcycle helmets are priced at $210 and have variable costs of $145 each. Total fixed cost for Head-First as a whole equals $44.800 (includes all foxed factory overhead and foved selling and administrative expense). Next...
how do you find the break-even point? Exercise 6-12 Multiproduct Break-Even Analysis (LO6-9] Olongapo Sports Corporation distributes two premium golf balls-Flight Dynamic and Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Flight Product Sure Dynamic Shot $ 710,000 $ 290,000 63% 78% Sales CM ratio Total $1,000,000 ? Fixed expenses total $575,500 per month. Required: 1. Prepare a contribution format income statement for the company as a whole. 2. What is the company's break-even...
If the sales mix results in a lower contribution margin percentage, the break even point a. increases b. decreases c. unchanged d. there is no relationship between contribution margin and sales mix strategy
Sales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Products Sales Mix Laptops Unit Selling Price $1,000 600 Unit Variable Cost $500 300 40% Tablets 60% The estimated fixed costs for the current year are $1,596,000. Required: 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for...
Multiple-Product Breakeven Instructions Sales Mix and Break-Even Quantity Instructions Sales Mix and Break-Even Quantity Multiple-Product Breakeven 1 What is the sales mix of DVDs and equipment sets? S Cherry Blossom Products inc produces and sells yoga-training products how to DVDs and a basic equipment set blocks, strap and small piows, Last year, Cherry Blossom Products sold 13,500 DVDs and 4500 equipment sets Information on the two products is as follows 2 Compute the break-even quantity of each product The break...
Sales Mix and Break-Even Sales Data related to the expected sales of kayaks and canoes for River Sports Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Kayaks $260 $180 40% Canoes 560 260 60% The estimated fixed costs for the current year are $1,424,640. Instructions: 1. Determine the estimated units of sales of the overall product necessary to reach the break-even point for the current...
Sales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Laptops $180 $120 30% Tablets 470 220 70% The estimated fixed costs for the current year are $225,810. Required: 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for...