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Cleaning Solutions Ltd. (CSL) is a merchandiser that sells cleaning products to consumers. It sells 3 products: Pro Vacuum, Epic Duster, and Swift Sweeper.
Cleaning Solutions Ltd. (CSL) is a merchandiser that sells cleaning products to consumers. It sells 3 products: Pro Vacuum, Epic Duster, and Swift Sweeper. CSL results for the month of August are provided below. Pro Vacuum Pro Vacuum Epic Duster Epic Duster Swift Sweeper Sales Variable costs Per Unit $250 $180 $70 TOTAL $10,800 $7,200 $3,600 Per Unit $60 $40 $20 TOTAL $7,630 $6,540 $1,090 Swift Sweeper Per Unit $35 $30 $5 TOTAL COMPANY TOTAL $106,250 $76,500 Contribution $29,750 Margin Fixed expenses for the month of August were $28,000. Required: Based on the information above, answer the following SIX (6) questions pertaining to CSL. TOTAL $124,680 $90,240 $34,440 Note: Show all your work and calculations. Round to the nearest dollar, percentage, or unit as necessary. 1. What is the total number of units that CSL sold in August? (4 marks) 2. What is the sales mix for the month of August? (3 marks) Question 5 (3 points) 3. What is the total break-even sales amount in dollars? (3 marks) P >> 4. What is the total break-even in units sold? (4 marks) Question 7 (2 points) 5. What is the margin of safety in dollars AND percentage? (2 marks) >> Question 8 (2 points) 6. Does CSL have high, medium of low risk of breaking-even? Justify your answer. (2 marks) A/
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1 Sales Unit selling price Pro vacuum 106250 250 425 units Epic Duster 10800 60 180 units Swift swee...Get Instant Access to Expert-Tailored Solutions
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