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please answer my question in the excel format listed below Problem 7-54. Multiple-Product Analysis, Changes in Sales Mix, Sales to Earn Target Operating Income Objective
please answer my question in the excel format listed below
Problem 7-54. Multiple-Product Analysis, Changes in Sales Mix, Sales to Earn Target Operating Income Objective 2,4 Basu Company produces two types of sleds for playing in the snow: basic sled and aerosled. The projected income for the coming year, segmented by product line, follows: The selling prices are $30 for the basic sled and $60 for the aerosled. (Round break-even packages and break-even units to the nearest whole unit.) Required: 1. Compute the number of units of each product that must be sold for Basu to break even. 2. Assume that the marketing manager changes the sales mix of the two products so that the ratio is five basic sleds to three aerosleds. Repeat Requirement 1. 3. CONCEPTUAL CONNECTION Refer to the original data. Suppose that Basu can increase the sales of aerosleds with increased advertising. The extra advertising would cost an additional $195,000, and some of the potential purchasers of basic sleds would switch to aerosleds. In total, sales of aerosleds would increase by 12,000 units, and sales of basic sleds would decrease by 5,000 units. Would Basu be better off with this strateav? Break-Even Packages Break-Even Basic Sleds Break-Even Aerosleds New mix: Total Break-Even Packages Break-Even Basic Sleds Break-Even Aerosleds Increase in contribution margin for aerosleds Decrease in contribution margin for basic sleds Increase in total contribution margin Less: Additional fixed cost Increase in incomeStep by Step Solution
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