Question
Mission Foods produces two flavors of tacoschicken and fishwith the following characteristics. Chicken Fish Selling price per taco $ 3.40 $ 4.80 Variable cost per
Mission Foods produces two flavors of tacoschicken and fishwith the following characteristics.
| Chicken | Fish | |||||
| Selling price per taco | $ | 3.40 | $ | 4.80 | ||
| Variable cost per taco | 1.70 | 2.40 | ||||
| Expected sales (tacos) | 200,000 | 297,000 | ||||
The total fixed costs for the company are $112,000.
Required:
b. Assuming that the product mix would be 38 percent chicken and 62 percent fish at the break-even point, compute the break-even volume using weighted-average contribution margin.
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Managerial Accounting
Authors: Kulp, Susan, Dragoo, Amie, Hartgraves, Al L, Morse Wayne J.
9th Edition
1618533622, 9781618533623
