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help please! Required information Problem 7-51 Cost-Volume-Profit Analysis with Income Taxes and Multiple Products (Appendix) (LO 7-1,7- 2, 7-4, 7-5, 7-11) (The following information applies
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Required information Problem 7-51 Cost-Volume-Profit Analysis with Income Taxes and Multiple Products (Appendix) (LO 7-1,7- 2, 7-4, 7-5, 7-11) (The following information applies to the questions displayed below.) Alpine Thrills Ski Company recently expanded its manufacturing capacity. The firm will now be able to produce up to 26,000 pairs of cross-country skis of either the mountaineering model or the touring model. The sales department assures management that it can sell between 20,000 and 24,000 units of elther product this year. Because the models are very similar, the company will produce only one of the two models. The following information was compiled by the accounting department Model Mountaineering $143.00 84.70 Touring $131.00 84.70 Selling price per unit Variable costs per unit Fixed costs will total $598,400 If the mountaineering model is produced but will be only $508,200 if the touring model is produced. Alpine Thrills Ski Company is subject to a 50 percent income tax rate. Problem 7-51 Part 3 3. How much would the variable cost per unit of the touring model have to change before it had the same break-even point in units the mountaineering model? (Round your intermediate calculations and final answer to 2 decimal places.) Answer is complete but not entirely correct. The variable cost por unit would have to decrease $ by 3.223
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