Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. What are the unit requirements given the three parameters above? 2. Annasams annual unit sales average of 1,000 units for each line. Are there

1. What are the unit requirements given the three parameters above? 2. Annasams annual unit sales average of 1,000 units for each line. Are there any marketing decisions that should be made given the above results?

image text in transcribed

Marketing Management Section 3 Problems Break-Even Analysis Annasam Company is a producer of kayaks. There are two lines of kayaks: one for professional outfitters and the second for committed recreationalists. The cost structure is as follows: Price Line Professional $4,000 Line Amateur $2,800 $900,000 $2,000 .20 VC Des Contribution Margin $2,200 15 Compute the break-even units and break-even dollar contribution needed as follows: 1. If Annasam only sells the professional line. 500 units & $2,000,00 2. If Annasam only sells the amateur line. 1125 units & $3,150,000 3. If Annasam sells both lines in equal units). about 346 units Annasam is trying to woo investors to its business, but investors would like to see at least a 15% return on investment on the professional line and 20% return on the amateur line. 1. What are the unit requirements given the three parameters above? 2. Annasam's annual unit sales average 1,000 units for each line. Are there any marketing decisions that should be made given the above results

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Using QuickBooks Online For Accounting 2021

Authors: Glenn Owen

4th Edition

0357442164, 9780357442166

More Books

Students also viewed these Accounting questions

Question

Identify the human resource management functions.

Answered: 1 week ago

Question

Describe who performs human resource management activities.

Answered: 1 week ago