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Larkspur manufactures 3 types of baby strollers: Lite, Elite, and Polite. The current information on sales and cost structure for the three products are as
Larkspur manufactures 3 types of baby strollers: Lite, Elite, and Polite. The current information on sales and cost structure for the three products are as follows: Unit Selling Price Unit Variable Cost Lite $100 48 Elite $178 105 Polite $253 129 The sales mix ratio for the three models is 5:3:2 for Lite, Elite and Polite. Larkspur's fixed costs for the year are $668,972. Your answer is correct. Calculate the unit contribution margin for each model of stroller. Lite Elite Polite Contribution margin 52 73 124 SHOW SOLUTION SHOW ANSWER LINK TO TEXT LINK TO TEXT x Your answer is incorrect. Try again. Assuming that the sales mix remains constant, calculate the contribution margin for the composite. x Contribution margin for the composite $ 727 LINK TO TEXT LINK TO TEXT x Your answer is incorrect. Try again. Assuming that the sales mix remains constant, calculate the contribution margin for the composite. X Contribution margin for the composite 727 LINK TO TEXT LINK TO TEXT x Your answer is incorrect. Try again. What is the breakeven in units for each model of stroller? Lite Elite Polite 4601 Sales in unit to breakeven 2761 1840 LINK TO TEXT LINK TO TEXT x Your answer is incorrect. Try again. If Larkspur sets its income before taxes $172,645, how many units of each model of stroller should be sold to achieve its target? Lite Elite Polite 5788 3473 Units to be sold 2315
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