15-1A. (Sales mix ami break-roen point) CheeMortal music store sells four kinds of musical' rnents-pianos, violins, cellos,
Question:
15-1A. (Sales mix ami break-roen point) CheeMortal music store sells four kinds of musical'
rnents-pianos, violins, cellos, and flutes. The current sales mix for the store and the contribution gin ratio (unit contribution margin divided by unit sales price) for these product lines are as fulloM
Total sales for the next year are forecast to be $250,000. Total fixed costs will be $50,000.
a.ı Prepare a table showing (1) sales, (2) total variable costs, and (3) the total contribu'
margin associated with each product line.
b.ı What is the aggregate contribution margin ratio indicative of the sales mix? (Round to two decimals.)
c. At this sales mix, what is the break-even point in dollars?
Step by Step Answer:
Financial Management Principles And Applications
ISBN: 9780131450653
10th Edition
Authors: Arthur J. Keown, J. William Petty, John D. Martin, Jr. Scott, David F.