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Jade company sells two products: rings and necklaces. The sales mix is typically three for every two necklaces A ring sells for $300, while its
Jade company sells two products: rings and necklaces. The sales mix is typically three for every two necklaces A ring sells for $300, while its variable costs are $200. A necklace sellsfor $500, while its variable costs are $350. Fixed costs for the company are $75000 per year.
a) how many rings and necklaces must the company sell in order to break even?
b) if the company's target profit is $243000 after taxes of 40% what level of sales dollars must the company achieve for the two products combined at the planned mix?
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