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Crane Auto has 230 auto-maintenance service outlets nationwide. It provides two main lines of service: oil changes and brake repair. Oil changes and related services
Crane Auto has 230 auto-maintenance service outlets nationwide. It provides two main lines of service: oil changes and brake repair. Oil changes and related services represent 70% of its sales and provide a contribution margin ratio of 20%. Brake repair represents 30% of its sales and provides a 60% contribution margin ratio. The companys fixed costs are $13,200,000 (that is, $65,600 per service outlet).
Calculate the dollar amount of each type of service that the company must provide in order to break even.
Oil changes | $enter a dollar amount | |
---|---|---|
Brake repairs | $enter a dollar amount |
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