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Multiple-Product Break-even, Break-Even Sales Revenue Cherry Blossom Products Inc. produces and sells yoga training products, how to DVDs and a basic equipment set (blocks, wrap,

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Multiple-Product Break-even, Break-Even Sales Revenue Cherry Blossom Products Inc. produces and sells yoga training products, how to DVDs and a basic equipment set (blocks, wrap, and small pilows). Last year, Cherry Blossom Products sold 12,500 DVDs and 4,500 apment sets. Information on the two products is as fotos DVDS Equipment Sets Price $8 $25 Variable cost per unit 4 15 Total fixed cost is $85,320 Suppose that in the coming year, the company plans to produce an extra-thick yoga mat for sale to health clubs. The company estimates that 9,000 mats can be sold at a price of 18 and a variable cost per unit of $11. Totalfixed cost must be increased by $28.440 (making total fed cost $113.760). Assume that anticipated sales of the other products, as well as their prices and Variable costs, remain the same F Partia com 1. What is the sales mix of DVDs, equipment sets, and yoga mats? 3:1:2 2. Compute the break-even quantity of each product. Break-even DVDs X units Break-even equipment sets units Break-even yoga mats units Feedback P 1 Check My Work 1. See text section "Determining the Sales Mix." Feedback Check My Work Partially correct Mul X sold instructions Part 1: Sales Mix Instructions and Part 2 Break Even 1. Part 3a: Income Statement che 311 3a. Prepare an income statement for Cherry Blossom Products for the coming year 13. 2. Cherry Blossom Products Inc. Income Statement Pric Brd For the Coming Year Var Bred Tote Bed Banda prices and Sup vari wan Check My Wor 3. Part 36: Contribution Margin Ratio and Part 4: Margin of Safety c3b. What is the overall contribution margin ratio? Use the contribution margin ratio to compute overall break-even sales revenue. (Note: Round the contribution margin ratio to the nearest whole percent, round the break-even sales revenue to the nearest dollar.) Overall contribution margin ratio % Overall break-even sales revenue 4. Compute the margin of safety for the coming year in sales dollars. Feedback Check My Work 35. Divide total contribution margin by sales. Divide total fixed costs by contribution margin ratio. 4. Compute the difference between expected sales and break-even sales

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