Hershay Candy Company manufactures a line of chocolate bars that are sold in department stores. The

sales forecast for the coming year consists of three products: high protein, high sugar and no sugar. The

company has experienced considerable variations in sales volumes and variable costs over the past two

years and Victoria believes the forecast should be carefully evaluated from a cost volume profit

viewpoint. The preliminary budget information for $2023$ is as follows:

For $2023$ fixed factory overhead is budgeted at $$2,100,000$ and the company's fixed selling and

administrative expenses are forecasted to be $$600,000.$ The company's income tax rate is $40\%.$

Required:

$1.$Calculate the company's budgeted net income for $2023$ using

$2.$Assuming the sale mix remains as budgeted, calculate the number of units of each product the

company must sell to breakeven in $2023.$

$3.$Calculate the total dollar sales the company must sell in $2023$ to earn an after tax income of $$450,000.$

After preparing the original estimates, the company determined its variable manufacturing cost of No

Sugar chocolate bars would increase $20\%$ and the variable selling cost of High Protein chocolate bars

would increase $$1$ per unit. The company has decided not to increase the selling price of either product.

In addition, the company has learned its No Sugar bars has been perceived as the best value on the

market and it can be expected to sell three times as many No Sugar bars as any other product. Given all

this information, calculate the number of units of each product the company would have to sell to

breakeven in $2023.$Hershay Candy Company manufactures a line of chocolate bars that are sold in department stores. The

sales forecast for the coming year consists of three products: high protein, high sugar and no sugar. The

company has experienced considerable variations in sales volumes and variable costs over the past two

years and Victoria believes the forecast should be carefully evaluated from a cost volume profit

viewpoint. The preliminary budget information for $2023$ is as follows:

For $2023$ fixed factory overhead is budgeted at $$2,100,000$ and the company's fixed selling and

administrative expenses are forecasted to be $$600,000.$ The company's income tax rate is $40\%.$

Required:

$1.$Calculate the company's budgeted net income for $2023$ using

$2.$Assuming the sale mix remains as budgeted, calculate the number of units of each product the

company must sell to breakeven in $2023.$

$3.$Calculate the total dollar sales the company must sell in $2023$ to earn an after tax income of $$450,000.$

After preparing the original estimates, the company determined its variable manufacturing cost of No

Sugar chocolate bars would increase $20\%$ and the variable selling cost of High Protein chocolate bars

would increase $$1$ per unit. The company has decided not to increase the selling price of either product.

In addition, the company has learned its No Sugar bars has been perceived as the best value on the

market and it can be expected to sell three times as many No Sugar bars as any other product. Given all

this information, calculate the number of units of each product the company would have to sell to

breakeven in $2023.$