Question
A company sells three products A, B, and C in a 2: 4: 4 sales mix sales price A-$10 B-$8 C-$6 variable cost A $7
A company sells three products A, B, and C in a 2: 4: 4 sales mix sales price A-$10 B-$8 C-$6 variable cost A $7 B-4, C -$2 Quantity Soles A 4,000, b-8000, C 8000
fixed cost are $38,000
a) calculate breakeven in total sales dollars and in unit of the 3 products.
b) what is the total income the company can earn with this sales mix? say the sale mix changes 4:4:2: with total quantity sold $20,000
c) what is the breakeven point of sales dollars and units?
d) what is the total income the company can earn with this sale mix? e) explain why the answer in part A and B is different from than C and D.
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