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Data related to the expected sales of kayaks and canoes for River Sports Inc. for the current year, which is typical of recent years, are
Data related to the expected sales of kayaks and canoes for River Sports Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Kayaks $190 $130 30% Canoes 340 160 70% The estimated fixed costs for the current year are $552,960.
1. Determine the estimated units of sales of the overall product necessary to reach the break-even point for the current year. units 2. Based on the break-even sales (units) in part (1), determine the unit sales of both kayaks and canoes for the current year. Kayaks units Canoes units 3. Assume that the sales mix was 70% Kayaks and 30% canoes. Determine the estimated units of sales of the overall product necessary to reach the break-even point for the current year. units 4. Based upon the break-even sales (units) in part (3), determine the unit sales of kayaks and Canoes for the current year. Kayaks units Canoes units 5. The overall enterprise break-even point from (1) to (3) because the sales mix is weighted more toward the product with the contribution margin per unit of productStep by Step Solution
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