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Current Designs manufactures two different types of kayaks: rotomoulded kayaks and composite kayaks. The following information is available for each product line. Rotomoulded Composite
Current Designs manufactures two different types of kayaks: rotomoulded kayaks and composite kayaks. The following information is available for each product line. Rotomoulded Composite Sales price/unit $880 $1,840 Variable costs/unit 520 1,250 The company's fixed costs are $771,400. An analysis of the sales mix identifies that rotomoulded kayaks make up 80% of the total units sold. Assume that Current Designs will have sales of $2.76 million with two-thirds of the sales dollars in rotomoulded kayaks and one- third of the sales dollars in composite kayaks. Assuming $607,200 of fixed costs are allocated to the rotomoulded kayaks and $164,200 to the composite kayaks, prepare a CVP income statement for each product line. (Round answers to O decimal places, e.g. 5,275.) Rotomoulded Kayaks Composite Kayaks AP $ $
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