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Case 5 32 Break Even Analysis for Individual Products na Multiprochurct Company [LO 55, LO 59 Corporation Cheryl Montoye picked up the phone and ched

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Case 5 32 Break Even Analysis for Individual Products na Multiprochurct Company [LO 55, LO 59 Corporation Cheryl Montoye picked up the phone and ched her boss, Wes Chan, the vice president of marketing at Phedront Fasteness is, I'm not sure how to go abouterswing the questions that came up at the m an with the present yesterday What's the probleme "The president werted to know the break even point for each of the company produkts, but I am having trouble figuring them out Tm sure you can handel Cheryl. And by the way, I need your analysis on my desk tomorrow morming at 8:00 sharp in time for the follow up meeting at 9600" Plemont Fasteners Corporation makes three different clothing fasteners in its manufacturing facility in North Carolina. Data concering these products appear below Velcro Metal Nylon Annual sales volune les,890 212, B89 295,689 Unit selling price $ 2.48 $ 1.99 $ 1.89 Variable expense per unit $ 0.98 $ 1.30 $ 0.60 Total fixed expenses are $270,000 per year. All three products are sold in highly competitive markets, so the company is unable to raise prices without losing an unacceptable numbers of customers. The company has an extremely effective lean production system, so there are no beginning or ending work in process or finished goods Inventortes. Required: 1. What is the company's over-all break-even point in dollar sales? 2 of the total fixed expenses of $270,000 $30,000 could be avoided if the velcro product is cropped. 5101,400 If the Metal product is dropped, and $80,000 If the Nylon product is dropped. The remaining fixed expenses of $58,600 consist of common fixed expenses such as administrative salaries and rent on the factory bullding that could be avoided only by going out of business entirely. a. What is the break-even point in unit sales for each product? b. If the company sells exactly the break-even quantity of each product, what will be the overall profit of the company? Complete this question by entering your answers in the tabs below. Red W ZA F red 2 all break even point in die ties? Kod ra What is the company's b nearest thousand de d acimal places and final answer to the Break een pont dodaties

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