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Come up with a mini case based on the information presented below. Rewrite the case including the basic information and the requirements using your own
Come up with a mini case based on the information presented below. Rewrite the case including the basic information and the requirements using your own details (you may use any example that you come up with (you can base it on your favorite sports team, your favorite restaurant idea, clothing store ideas etc.). The basic information should be in a paragraph or two, do not use bullet points. The "required" section must be in a numbered list. Do not change the numbers and the key requirements (what you are required to compute or discuss). Provide the solutions to the questions. Clearly number your solutions, show your calculations and make it easy to follow. Basic information: Company sells three products with selling price per unit of $ 12.00, $ 15.50 and $ 8.00. The variable cost per unit is $6.00, $8.50 and $ 4.00 respectively. Original forecasted units for 2015 were 40,000, 80,000 and 120,000 respectively. At the beginning of the year, the company estimated that it would pay $ 275,000 in fixed manufacturing costs and $ 225,000 in fixed marketing and administration costs. Required: What is the breakeven point in units, assuming that the given sales mix is maintained? If the sales mix is maintained what is the contribution margin? What is the income? A situation arises that changes the units sold to 40,000,110,000 and 60,000 respectively. Come with t alternative scenario and rewrite this step. What is the new breakeven point in units? Comparing the breakeven points in requirements 1 and 3, is it always better for a company to choose the sales mix that yields a lower breakeven point? What other factors should be considered
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