Artan Cobb admired his wite's success at selling scarves at local crafts shows, so he decided to make two types of plant stands to sell at the shows. Arlan makes twig stands out of downed wood from his backyard and the yards of his neighbors, so his variable cost is minimal (wood screws, glue, and so forth). However, Arlan has to purchase wood to make his oak plant stands. His unit prices and costs are as follows; (Click the icon to view the data.) The twig stands are more popular, so Arlan sells four twig stands for every one oak stand. Kaso charges her husband \$455 to share her booth at the craft shows (after al, she has paid the entrance fees). How many of each plant stand does Avlan need to sell to breakeven? Wilt this affect the number of scarves Kate needs to sell to breakeven? Explain. Determine how many of each plant stand Artan needs to sed to breakeven. Begin by computing the weighted-average contribution margin per unt. First identify the formula labols, then complete the calculations step by step. Arlan Cobb admired his wife's success at selling scarves at local crafts shows, so he decided to make two types of plant stands to sell at the shows. Arlan makes twig stands out of down variable cost is mit purchase wood to as follows: H7 (Click the icon Detormine how mi formula labels, the The twig stands are more popular, so Arlan sells four twig stands for every one oak stand. Katie charges her husband $455 to share her booth at the s (atter all, she has paid the entrance fees). How many of each does Avlan need to sell to breakeven? Will this affoct the number Katie needs to sell to breakeven? Explain. Hed-average contribution margin per unit. First identify the Avlan Cobb admired his wife's success at selling scarves at local crafts shows, so The twig stands are more popular, so Arlan sells four twig stands for every Determine how many of each plant stand Arlan needs to sell to breakeven. Begin by computing the weighted-average contribution margin per unit. First identify the formula labels, then complete the calculations step by step. Next determine the formula to compute the breakeven sales in units. (Abbreviations used: Avg. = average and CM = contribution margin.) Determine how manv of each olant stands Arlan needs to sell to breakeven. Avian Cobb admired his wife's success at selling scarves at local crafts shows, so The twig stands are more popular, so Arlan sells four twig stands for ever Next determine the formula to compute the breakeven sales in units. (Abbreviations used: Avg, = average and CM = contritution margin.) Determine how many of each plant stands Avlan needs to sell to breakeven. Breakeven sales of twig stands is urits. Breakeven sales of oak stands is units. Will this affect the number of scarves Katie needs to sell to breakeven? Explain. By charging her husband part of the cratt fair entrance fees, her fixed costs will Therefore, Kabe will need to sell scarves to breakeven than betore her husband decided to share her craft booths
