Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please compete - Data table Sales price Variable cost Twig Stands Oak Stands $ 15.00 $ 35.00 2.50 $ 10.00 Print Done Kris Walker admired

please compete
image text in transcribed
image text in transcribed
- Data table Sales price Variable cost Twig Stands Oak Stands $ 15.00 $ 35.00 2.50 $ 10.00 Print Done Kris Walker admired his wife's success at selling scarves of local crafts shows. So he decided to make two types of plant stands to sell at the shows, Kris makes twig stands out of downed wood from his backyard and the yards of his neighbors, so his variable cost is minimal (wood screws, glue, and so forth). However, Kris has to purchase wood to make his oak plant stands. His unit prices and costs are as follows: Click the icon to view the data) The twig stands are more popular, so Kris sells fourtwig stands for every one oak stand. Athena charges her husband $300 to share her booth at the craft shows (after all, she has paid the entrance fees). How many of each plant stand does Kris need to sell to breakeven? Will this affect the number of scarves Athena needs to sell to breakeven? Explain. 15.00 Determine how many of each plant stand Kris needs to sell to breakeven. Begin by computing the weighted average contribution margin per unit. First identify the formula labels, then complete the calculations step by step, Twig Oak Sale price per unit Loss Variable cost per unit 2.50 Contribution margin per unit 12.50 Sales mix Contribution margin 50.00 Weighted average contribution margin per unit 4

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

Money Tracker Track Your Expenses And Grow Financially

Authors: Ester Penterman

1st Edition

B0CKVH74FZ

More Books

Students also viewed these Accounting questions