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Coral Industries produces three products: Product X, Product Y and Product Z. Information for the products for the year is as follows: Product X Product
Coral Industries produces three products: Product X, Product Y and Product Z. | |||
Information for the products for the year is as follows: | |||
Product X | Product Y | Product Z | |
Units produced and sold | 5,000 | 9,000 | 12,000 |
Selling price per unit | $22 | $14 | $25 |
Variable expenses per unit | $16 | $10 | $19 |
The company's fixed costs totaled $82,000: $20,000 for Product X, $40,000 for Product Y and $22,000 for Product Z | |||
Should any product be dropped? Why or why not? | |||
Include supporting calculations |
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