Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Quantitative Part (40 Marks) Question: 1 Joffery Products produces two types of water filters. One model is (x) and the oth one is Y. X

image text in transcribed

Quantitative Part (40 Marks) Question: 1 Joffery Products produces two types of water filters. One model is (x) and the oth one is Y. X is sold for $160 and has variable costs of $40. Y sells for $180 and variable costs of $50. The Company sells two X models for every three Y models sold. Fixed costs eq $1,260,000. Required (10 Marks) 1. What is the breakeven point in unit sales and dollars for each type of filter the current sales mix? 2. What is the breakeven point in unit sales and dollars for each type of filter the current sales mix if the tax rate is 40%? 3. Joffery is considering buying new production equipment. The new equipme will increase fixed cost by $444,000 per year and will decrease the variable co of the X and the y products by $20 and $40 respectively. Assuming the sar sales mix, how many of each type of filter does Pure Water need to sell to bre even

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

Step: 3

blur-text-image

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

Energy Audit Of Building Systems An Engineering Approach

Authors: Moncef Krarti

3rd Edition

0367820463, 978-0367820466

More Books

Students also viewed these Accounting questions

Question

What is the meaning and definition of E-Business?

Answered: 1 week ago