Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Dixie Candle Supply makes candles. The sales mix (as a percentage of total dollar sales) of its three product lines is birthday candles 30%, standard

Dixie Candle Supply makes candles. The sales mix (as a percentage of total dollar sales) of its three product lines is birthday candles 30%, standard tapered candles 60%, and large scented candles 10%. The contribution margin ratio of each candle type is shown below.

Candle Type

Contribution Margin Ratio

Birthday 20%
Standard tapered 30%
Large scented 40%

What is the weighted-average contribution margin ratio?

Weighted-average contribution margin ratio

Enter weighted-average contribution margin in percentages %

eTextbook and Media

If the companys fixed costs are $423,640 per year, what is the dollar amount of each type of candle that must be sold to break even?

Birthday

Standard tapered

Large scented

Total break-even point

$Enter a dollar amount

$Enter a dollar amount

$Enter a dollar amount

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Harrison, Horngren, Thomas

1st Edition

0558823513, 978-0558823511

More Books

Students also viewed these Accounting questions

Question

Coping with competitive pressure and sport performance anxiety

Answered: 1 week ago

Question

When should you avoid using exhaust brake select all that apply

Answered: 1 week ago

Question

Cite the reasons employees join unions.

Answered: 1 week ago