ID:

Note: Print the Whole Homework 3 and then by your handwriting make your detailed solution MANNUALLY.

Due Date: Wednesday 8/6/2022 -----------------------------------------------------------------------------------------------------------

The Question

Mariana Company is a multi-product company. It produces three products: X, Y and Z. Selling prices are $8 for X Product, $6 for Y Product and $6 for Z Product. Variable costs per unit are: $3 for Product X, $4 for Product Y and $5 for Product Z. Total Fixed Costs are $10,000. Assume that budgeted sales are 2,000 units of X, 4,000 units of Y and 3,000 units of Z. A breakeven chart would make the assumption that output and sales of X, Y and Z are in the proportions 2,000: 4,000: 3,000 at all levels of activity, in other words that the sales mix is 'fixed' in these proportions.

Required:

Part 1:

Carry out the following calculations needed to draw the Break Even Chart:

Product

X

Y

Z Total VC Add: FC Total Budgeted

Budged Variable Costs Calculations $

Budgeted Sales Revenues Calculations $

Part 2 (1): Total CM (%) for all three products together =

(2): BEP ($) =

(3); Margin Safety ($) =

Calculate each of the following:

Part 3:

Draw the Break Even Chart with Full Details :