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1) 2) Simon's Wholesale Flowers produces two types of flower bouquets that it distributes to retail shops: simple bouquets and upgraded bouquets. Total fixed costs

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Simon's Wholesale Flowers produces two types of flower bouquets that it distributes to retail shops: simple bouquets and upgraded bouquets. Total fixed costs for the firm are $184,000. Variable costs and sales data for these bouquets are presented here. Assume that the product mix would be the same at the breakeven point as at the expected level of sales of both products. How many bouquets will be required to reach the breakeven point? 10,952 simple bouquets and 17,524 upgraded bouquets 15,333 simple bouquets and 15,333 upgraded bouquets 10,615 simple bouquets and 17,692 upgraded bouquets 11,500 simple bouquets and 17,250 upgraded bouquets Recent economic conditions are forcing MegaCorp to drop its price from $50 to $40 per unit, but the company expects its sales to rise from 600,000 to 750,000 units. The company produces exactly enough units to meet sales expectations and the company's current cost of production is $38 per unit. Of that $38 per unit, $10 per unit is a result of fixed costs, which was calculated by dividing the fixed costs by expected sales of 600,000 . Fixed costs will remain the same despite the price and production changes. Suppose MegaCorp would like to maintain a 21% target operating income on its sales revenue. To achieve this target, the company must lower its variable cost of production by: $2.40 per unit. $25.60 per unit. $4.40 per unit. $33.60 per unit

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