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Poco Builders Inc. produces three products: A, B, and C. The following information is presented for the three products: Fixed Cost 228,500 Product A Product
Poco Builders Inc. produces three products: A, B, and C. The following information is presented for the three products: Fixed Cost 228,500 Product A Product B Product C Units produced 80 120 200 $ $ $ 700 Price Per Unit 200 400 $ $ $ Variable Cost Per Unit 90 150 400 Required: 1. Calculate the contribution margin for each product 2. Calculate the break-even point in units of the three products A, B, and C combination based on the sales mix percentage 3. Please give suggestions to the decision-makers about how to increase profit based on the CVP analysis
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