Question
Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $745,000, and the sales mix is 20%
Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $745,000, and the sales mix is 20% bats and 80% gloves. The unit selling price and the unit variable cost for each product are as follows: Products Bats Gloves Unit Selling Price Unit Variable Cost $60 $50 150 90 a. Compute the break-even sales (units) for both products combined. units b. How many units of each product, baseball bats and baseball gloves, would be sold at break-even point? Baseball bats Baseball gloves units units
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a To compute the breakeven sales units for both products combined we need to calculate the total contribution margin and divide it by the weighted ave...Get Instant Access to Expert-Tailored Solutions
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Financial and Managerial Accounting Using Excel for Success
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