Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

(b) Sales mix to break-even assuming frxed costs are now $12,300. Soda 0.1 Hot dogs 0.5 Peanuts 0.4 Sales in units to break even: 3,000

image text in transcribed
image text in transcribed
image text in transcribed
(b) Sales mix to break-even assuming frxed costs are now $12,300. Soda 0.1 Hot dogs 0.5 Peanuts 0.4 Sales in units to break even: 3,000 Identify at least two reasons why the total break-even point is different in parts (a) and (b). Popular food items sold at a regional baseball field include sodas, hot dogs, and bags of peanuts in fact, many people purchise anturee of these items every time they go to a game. The protitability of eachof these products isn't the same, however. For the prior two years, the products were selling in nearly equal proportions; revenue and cost information is as follows. Managers of the baseball park are working harder than ever to increase both sales and profits overall. This is important because of the high fued costs of operating the faclitity. (a) Sales Mix to break-even assuming foxed costs in a typical month total $11.000 Sods 0,3 Hot dogs 0.4 Peanuts 0.3 Sales in units to break even: 2,500 (b) Sales mix to break-even assuming fued costs are now $12,300. Why do you think sales of sodas have dEopped so significantly this year compared to the past two years? Given how profitable it is for this organization to sell soda, should it consider some type of promotion to increase sales nearer to previous levels? Since kids make up nearly half of the attendees at any game, is this ethical

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

Step: 3

blur-text-image

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

Culture Audits Supporting Organizational Success Information Line

Authors: Cynthia Solomon

1st Edition

156286386X, 978-1562863869

More Books

Students also viewed these Accounting questions

Question

What is ingenuity?

Answered: 1 week ago