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Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics: Chicken Fish Selling price per taco $ 3.00 $ 4.50 Variable

Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics:

Chicken Fish
Selling price per taco $ 3.00 $ 4.50
Variable cost per taco 1.50 2.25
Expected sales (tacos) 200,000 300,000

The total fixed costs for the company are $117,000.

a. What is the anticipated level of profits for the expected sales volumes?

Profit b.Assuming that the product mix would be 40 percent chicken and 60 percent fish at the break-even point, compute the break-even volume. (Round intermediate calculations to 2 decimal places.)

Chicken Fish

c.If the product sales mix were to change to four chicken tacos for each fish taco, what would be the new break-even volume? (In your computations, round up the total units to break-even to the nearest whole number and round other intermediate calculations to 2 decimal places. Round your final answers up to the nearest whole unit.)

Chicken

Fish

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