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just need part (B) What amount of revenue would need to be generated by each type of donut for the company to earn $36,720 in
just need part (B)
What amount of revenue would need to be generated by each type of donut for the company to earn $36,720 in operating income? (Round answers to 0 decimal places, e.g. 25,000.)
Daniel's Donuts sells three types of donuts: sugar-glazed, cream-filled and giant-sized. The following table shows the sales price and variable cost for each type. Daniel's incurs $220,320 a year in fixed costs. Assume that the store has a sales mix of three sugar- glazed, two cream-filled, and one giant-sized. Sales Price Variable Cost Type Sugar-glazed Cream-filled Contribution Margin $0.16 $0.50 $0.34 0.66 0.38 0.28 Giant-sized 0.82 0.42 0.40 (a) X Your answer is incorrect. How many donuts of each type will be sold at the breakeven point? (Round answers to 0 decimal places, e.g. 25,000.) Sugar-glazed 1 Cream-filled 1 Giant-sized 1 (b) What amount of revenue would need to be generated by each type of donut for the company to earn $36,720 in operating income? (Round answers to O decimal places, e.g. 25,000.) Sugar-glazed $ Cream-filled $ Giant-sized $Step by Step Solution
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