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Pin cushion company produces two models of sewing basket. Information about pincushions products is given below: Pin cushions fixed costs total $40,900. Required: 1. Determine
Pin cushion company produces two models of sewing basket. Information about pincushions products is given below:
Pin cushions fixed costs total $40,900.
Required:
1. Determine pin cushions weighted average unit contribution margin and weighted average contribution margin ratio.
2. Calculate pincushions breakeven units and break even sales revenue.
3. Calculate The number of units of each product must be sold to break even.
4. Calculate The total sales necessary for pincushion to earn a profit of $67,000.
5. Calculate The sales revenue generated from each product line if pincushion earns its target profit of $67,000.
6. using the original information, calculate pincushions degree of operating leverage.
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