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PopARoo sells two flavours of popocorn - chocolate and caramel. Information on sales for July follows: Chocolate Caramel Total Number of bags 9,000 6,000 15,000
PopARoo sells two flavours of popocorn - chocolate and caramel.
Information on sales for July follows:
Chocolate | Caramel | Total | |
Number of bags | 9,000 | 6,000 | 15,000 |
Sales | $72,000 | $60,000 | $132,000 |
Variable costs | $27,000 | $15,000 | $42,000 |
Fixed costs | $6,000 | $10,000 | $58,000 |
Fixed Revenues | $4,000 |
Determine the number of units and sales revenue for each product at the breakeven point for PopARoo in the following two hypothesis:
1) The sales mix is constant
2) The sales mix is expected to be: 7 chocolate, 5 Caramel
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