Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Personal Electronix sells iPads and iPods. The business is divided into two divisions along product lines. CVP income statements for a recent quarters activity are

Personal Electronix sells iPads and iPods. The business is divided into two divisions along product lines. CVP income statements for a recent quarters activity are presented below. iPad Division iPod Division Total Sales $838,400 $471,600 $1,310,000 Variable costs 620,416 259,380 879,796 Contribution margin $217,984 $212,220 430,204 Fixed costs 132,674 Net income $297,530 Determine sales mix percentage and contribution margin ratio for each division. (Round answers to 0 decimal places, e.g. 15%.) Sales Mix Percentage iPad division % iPod division % Contribution Margin Ratio iPad division % iPod division % LINK TO TEXT Calculate the companys weighted-average contribution margin ratio. (Round computations and final answer to 2 decimal places, e.g. 15.26%.) Weighted-average contribution margin ratio % LINK TO TEXT Calculate the companys break-even point in dollars. (Round computations to 2 decimal places and final answer to 0 decimal places, e.g. 1,526.) Break-even point $ LINK TO TEXT Determine the sales level in dollars for each division at the break-even point. (Round computations to 2 decimal places and final answers to 0 decimal places, e.g. 1,526.) Break-even point iPad division $ iPod division $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions