Exercise MC$\_1-$ CVP analysis for a multiproduct company

The following information is known at the end of the fiscal year about the Grimble Gromble S$.$p$.$A$.$

a company belonging to a multinational group, but operating in Italy:

The two products are totally different from each other so that under no circumstances can their

respective quantities be added together.

If necessary, indirect variable costs must be attributed using the quantity $($in doses$)$ of direct

materials used.

Required:

On the basis of the available information:

Determine the actual level of "Total contribution margin" and EBIT.

Determine the contribution margin per unit $($please note: NOT the direct contribution

margin per unit$)$ and the direct margin per unit of the two products.

Determine, for each of the two products, the average cost of purchasing a dose of raw

material

Compute the weighted average price of the two products.

Compute what is the level of sales revenues that must be attained $($assuming constancy in

the components of the sales mix$)$ to achieve an operating result of $500,000.$

Determine the $($physical$)$ quantities of the two products that must be sold to achieve this

level of sales revenue $($again assuming constancy in the components of the sales mix, of

course$)$

Determine the new break$-$even point $($in terms of units of the two different products that

should be sold$)$ if the sales mix changes so that the company sells on average $3$ units of

product $"$X$"$ for every $4$ units of product $"$W$"$

Compute the degree of capacity utilization and the cost of unused capacity by considering

only the resource "direct labor".