Question
Pierson pet Products produces two models of dog beds.basic&custom. Price calls and expected sales volume data for the two models or as follows. Selling price
Pierson pet Products produces two models of dog beds.basic&custom. Price calls and expected sales volume data for the two models or as follows.
Selling price for bed.basic 32$custom 67$
variable cost per bed.basic 25$custom46$
expected sales beds.basic $114,000custom76,000
The total fix claws for the company are.413.280 [a] What is the anticipated level of profits for the expected sales of volumes?
[b] Assuming that the expected product mix applies regardless of total sales compute the break even volume. [c] If the product sales mixed, where to change to 3 basic beds for each custom bed, what would be the new break even volume?
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