Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

E6-22 (Algo) Multiproduct CVP Analysis [LO 6-6] Juniper Corp. makes three models of insulated thermos. Juniper has $308,000 in total revenue and total variable costs

E6-22 (Algo) Multiproduct CVP Analysis [LO 6-6]

Juniper Corp. makes three models of insulated thermos. Juniper has $308,000 in total revenue and total variable costs of $160,160. Its sales mix is given below:

Percentage of total sales
Thermos A 34 %
Thermos B 45
Thermos C 21

Required:

1. Calculate the (overall) weighted-average contribution margin ratio.

2. Determine the total sales revenue Juniper needs to break even if fixed costs are $92,880.

3. Determine the total sales revenue needed to generate a profit of $108,480.

4. Determine the sales revenue from each product needed to generate a profit of $108,480.

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

Required 1 Required 2 Required 3 Required 4 Calculate the overall) weighted average contribution margin ratio. Weighted Average CM Ratio % Required 1 Required 2 > Required 1 Required 2 Required 3 Required 4 Determine the total sales revenue Juniper needs to break even if fixed costs are $92,880. (Round your answer to the nearest whole number.) Break-Even Point Required 1 Required 2 Required 3 Required 4 Determine the total sales revenue needed to generate a profit of $108,480. (Round your answer to the nearest whole number.) Target Sales Required 1 Required 2 Required 3 Required 4 Determine the sales revenue from each product needed to generate a profit of $108,480. (Round your answers to the nearest whole number.) Thermos A Thermos B Thermos C

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

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

Step: 2

blur-text-image

Step: 3

blur-text-image

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

Managerial Accounting

Authors: Ray Garrison, Eric Noreen, Peter Brewer

16th edition

1259307417, 978-1260153132, 1260153134, 978-1259307416

Students also viewed these Accounting questions