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Question 1: (25 Marks) Cost-Volume-Profit & Cost Behavior Analysis Page Break Header Jonah Hill Company manufactures two products. Information about the two products is as
Question 1: (25 Marks) Cost-Volume-Profit & Cost Behavior Analysis Page Break Header Jonah Hill Company manufactures two products. Information about the two products is as follows: Product Y Product $80 Selling price per unit Variable costs per unit Contribution margin per unit $30 15 45 $35 $15 The company expects fixed costs to be $189,000. The firm expects 60% of its sales in units) to be Product X and 40% to be Product (a sales mix of 3:2). a. Calculate the weighted average contribution margin or contribution margin by package b. Determine the breakeven point in total units, and how much would come from products and Y c. Determine the level of sales (in dollars) necessary to generate operating income of $135,000 d. Identify and explain 3 separate ways in which the company can use the above information to improve overall profitability
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