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Please answer the fill in the blanks. The Ramirez Company retails two products: standard and a deluxe version of a luggage carrier. The budgeted income
Please answer the fill in the blanks.
The Ramirez Company retails two products: standard and a deluxe version of a luggage carrier. The budgeted income statement for next period is as follows: E: (Click the icon to view the budgeted income statement.) Read the requirements. Requirement 1. Compute the breakeven point in units, assuming that the company achieves its planned sales mix. Begin by determining the sales mix. For every 1 deluxe unit(s) sold, standard units are sold Determine the formula used to calculate the breakeven point when there is more than one product sold. Then, enter the amounts in the formula to calculate the breakeven point. Breakeven point in bundles The breakeven point is standard units and deluxe units Requirement 2. Compute the breakeven point in units (a) if only standard carriers are sold and (b) if only deluxe carriers are sold. (a) If only standard carriers are sold, the breakeven point is units (b) If only deluxe carriers are sold, the breakeven point is units. Data Table Total Standard Carrier Deluxe Carrier 200,000 50,000 250,000 Units sold Revenues at $25 and $45 per unit Variable costs at $15 and $25 per unit $ 5,000,000 $ 3,000,000 2,250,000 $ 7,250,000 1,250,000 4,250,000 $ $ 2,000,000 $ 1,000,000 Contribution margins at $10 and $20 per unit Fixed costs 3,000,000 2,475,000 $ 525,000 Operating incomeStep by Step Solution
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