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Procter & Gamble Co. sells three product lines, A, B, and C, with the following information for the year ended December 31, 2023: Product Units
- Procter & Gamble Co. sells three product lines, A, B, and C, with the following information for the year ended December 31, 2023:
Product | Units Sold | Sales Price per Unit ($) | Variable Cost per Unit ($) |
A | 200,000 | 10 | 6 |
B | 150,000 | 15 | 9 |
C | 100,000 | 20 | 12 |
- Required:
- Calculate the total sales revenue for Procter & Gamble Co.
- Determine the sales mix percentage.
- Calculate the overall contribution margin ratio.
- Determine the weighted average contribution margin per unit.
- Analyze the impact of a 10% increase in variable costs on overall contribution margin.
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