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Please use excel & show formulas. PA6-5 Analyzing Multiproduct CVP, Break-Even Point, Target Profit, Margin of Safety LO 6-3, 6-6 Lindstrom Company produces two fountain
Please use excel & show formulas.
PA6-5 Analyzing Multiproduct CVP, Break-Even Point, Target Profit, Margin of Safety LO 6-3, 6-6 Lindstrom Company produces two fountain pen models. Information about its products follows: Product A Product B $75,000 $125,000 Sales revenue 33,000 Less: Variable costs 38,000 Contribution margin $ 87,000 $42,000 Total units sold 5,000 5,000 Lindstrom's fixed costs total $78,500 Required: 1. Determine Lindstrom's weighted-average unit contribution margin and weighted-average contribution margin ratio. 2. Calculate Lindstrom's break-even point in units and in sales revenue 3. Calculate the number of units that Lindstrom must sell to earn a $150,000 profit. 4. Calculate Lindstrom's margin of safety and margin of safety as a percentage of sales if it sells 8,000 total pensStep by Step Solution
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