Question
Crane, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company $20 and are sold for $30. Glass pitchers cost
Crane, Inc., sells two types of water pitchers, plastic and glass. Plastic pitchers cost the company $20 and are sold for $30. Glass pitchers cost $30 and are sold for $51. All other costs are fixed at $421,200 per year. Current sales plans call for 10,000 plastic pitchers and 20,000 glass pitchers to be sold in the coming year.
(a)
How many pitchers of each type must be sold to break even in the coming year? (Use contribution margin per unit to calculate breakeven units.)
Plastic pitchers | enter the number of plastic pitchers | |
---|---|---|
Glass pitchers | enter the number of glass pitchers |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started