Question
Ivanhoe Electronix sells computer tablets and MP3 players. The business is divided into two divisions along product lines. CVP income statements for a recent quarters
Ivanhoe Electronix sells computer tablets and MP3 players. The business is divided into two divisions along product lines. CVP income statements for a recent quarters activity are presented below.
Tablet Division | MP3 Player Division | Total | ||||
---|---|---|---|---|---|---|
Sales | $968,500 | $521,500 | $1,490,000 | |||
Variable costs | 687,635 | 286,825 | 974,460 | |||
Contribution margin | $280,865 | $234,675 | 515,540 | |||
Fixed costs | 142,206 | |||||
Net income | $373,334 |
Calculate the companys weighted-average contribution margin ratio. (Do not round intermediate calculations; report final answer as a percentage rounded to 2 decimal places, e.g. 15.26%.)
Weighted-average contribution margin ratio | enter the weighted-average contribution margin ratio in percentages rounded to 2 decimal places % |
Calculate the companys break-even point in sales dollars. (Do not round intermediate calculations; round final answer to 0 decimal places, e.g. 1,526.)
Break-even point | $enter the break-even point in dollars rounded to 0 decimal places |
Determine the sales level in dollars for each division at the break-even point. (Do not round intermediate calculations; round final answer to 0 decimal points, e.g. 1,526.)
Break-even point | ||
---|---|---|
Tablet division | $enter a dollar amount | |
MP3 Player division | $enter a dollar amount |
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