Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Cheezer's Pizza sells pizza, water and chips. The company's fixed costs are $20,000 and the sales mix is 40% pizza, water 40% and 20% chips.

Cheezer's Pizza sells pizza, water and chips. The company's fixed costs are $20,000 and the sales mix is 40% pizza, water 40% and 20% chips. Product data include the following:

Please don't put it into an excel**

Unit Sales

Price

Unit Variable

Costs

Unit Contribution

Margin

Pizza 10.00 4.00 6.00
Water 4.00 2.00 2.00
Chips 6.00 2.00 4.00

Determine the break-even point in units and sales dollars for the following:

Break-even

in units

Break-even Sales

in Dollars

a) Pizza .
b) Water
c) Chips

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

Financial Accounting

Authors: Alan Melville

2nd Edition

0273634399, 978-0273634393

More Books

Students also viewed these Accounting questions

Question

How does acid mine drainage damage nearby streams and groundwater?

Answered: 1 week ago