Question 3 Requirement 1 Jackie's Snacks sells fudge, caramels, and popcorn. It sold 14,000 units last year. Popcorn outsold fudge by a margin of 2 to 1. Sales of caramels were the same as sales of popcorn. Fixed costs for Jackie's Snacks are $10,000. Additional information follows: Product Fudge Caramels Popcorn Unit Sales Prices $6.00 $11.00 $12.00 Unit Variable Cost $3.00 $9.00 $8.00 The weighted average contribution margin for the three products of Jackie's Snacks is O A. $49.00 O B. $3.00 O C. $13.80. OD. $1.00 Requirement 2 I Scream For Ice Cream sells specialty ice cream in three flavors: Rocky Road, Peanut Butter, and Fruity Tooty. It sold 18,000 gallons last year. For every five gallons of ice cream sold, one pound is Fruity Tooty and the remainder is split evenly between Peanut Butter and Rocky Road. Fixed costs for Scream For Ice Cream are $55,100 and additional information follows: Sales price per pound Variable cost per pound Rocky Road $7.50 $3.75 Peanut Butter $7.00 $3.00 Fruity Tooty $8.50 $5.00 Breakeven sales in dollars for 1 Scream For Ice Cream is O A. $72,500. O B. $53,650. OC. $108,750. OD. $163,125. Requirement 3 Assume the Hiking Shoes division of the All About Shoes Corporation had the following results last year (in thousands). Management's target rate of return is 20% and the weighted average cost of capital is 5%. Its effective tax rate is 25%. Sales $13,000,000 Operating income 5,850,000 Total assets 1,000,000 Current liabilities 850,000 What is the division's Return on Investment (ROI)? O A. 85.00% OB. 45.00% OC. 585.00% OD. 1,300.00%