Homework: Ch 3 Homework Question 3, E3-34 (simil.. Part 1 of 9 HW Score: 0%, 0 of 28 points O Points: 0 of 4 @ Save The Jervis Company has three product lines of beer mugs A, B, and C-with contribution margins of $5. $4, and $2, respectively. The president foresees sales of 210,000 units in the coming period, consisting of 30,000 units of A, 120,000 units of B, and 60,000 units of C. The company's fixed costs for the period are $525,000 Read the requirements. Requirement 1. What is the company's breakeven point in units, assuming that the given sales mix is maintained? Begin by determining the sales mix For every 1 unit of Product A, units of Product and units of Product C are sold, - X Requirements 1. What is the company's breakeven point in unils, assuming that the given sales mix is maintained? 2. If the sales mix is maintained, what is the total contribution margin when 210,000 units are sold? What is the operating income? 3. What would operating income be if the company sold 30,000 units of A 60,000 units of B, and 120,000 units of C? What is the new breakeven point in units if these relationships persist in the next period? 4. Comparing the breakeven points in requirements 1 and 3, is it always better for a company to choose the sales mix that yields the lower breakeven point? Explain. Print Done Help me solve this Etext pages Get more help Clear all Check