1. what is the sales mix of DVDs, equipment sales and yoga mats? 2. compute the break even quantity of each product. break even dvds= break even equipment sales= break even yoga mats =

3. prepare an income statement b. overall contribution margin ratio = overall break even sales revenue=

4. compute the margin of safety for the coming year in sales dollars

Multiple-Product Break-even, Break-Even Sales Revenue Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic equipment set (blocks, strap, and small pillows). Last year, Cherry Blossom Products sold 13,500 DVDs and 4,500 equipment sets. Information on the two products is as follows: DVDs Equipment Sets Price $8 $25 Variable cost per unit 4 15 Total fixed cost is $101,700. Suppose that in the coming year, the company plans to produce an extra-thick yoga mat for sale to health clubs. The company estimates that 9.000 mats can be sold at a price of $21 and a variable cost per unit of $12. Total fixed cost must be increased by $33,900 (making total fixed cost $135,600). Assume that anticipated sales of the other products, as well as their prices and variable costs, remain the same