Sales Mix ACC3300 - Fall 2019 - Chapter 3 A-Lot-A Funwork SHOW ALL WORK AND BOX OR CIRCLE YOUR FINAL ANSWERS! Round all final answers to 2 decimal places, if applicable. Exercise 1) Good'n'Yummy produces and sells some tasty TV dinners (Buffalo Burger, Crab Cake, and a Pizza Meal). Last year, Good 'n'Yummy sold 14,154 Buffalo Burger Meals, 42,462 Pizza Meals, and 28,308 Crab Cake Meals. Fixed costs during the last year were $30,571.53. Information on the two products is as follows: Buffalo Burger Meal Crab Cake Meal Pizza Meal Sales Price $9.20 $8.50 $5.50 Variable Cost Ratio 45% 58% 44% Some of the employees at Good'n'Yummy came up with a great idea to add a Meatloaf Meal, a Hot Dog Meal, a Fish Stick Meal, and a Veggie Burger Meal!!! The company estimates that 7,077 Meatloaf Meals can be sold at a price of $7.05 and a contribution margin per unit of $3.85. The company estimates that 63,693 Hot Dog Meals can be sold with a markup of 104 percent of variable costs. The company estimates that 49,539 Fish Stick Meals can be sold at a price of $6.84 and a variable cost per unit of $3.07. The company estimates that 21.231 Veggie Burger Meals can be sold and will have a variable cost of $2.97 and a contribution margin ratio of 67 percent. Fixed cost will be increased by $9.902.66 due to the addition of the Meatloaf Meal, $13.132.13 for the addition of the Hot Dog Meal, $17.001.01 for the addition of the Fish Stick Meal, and $10,789.87 for the addition of the Veggie Burger Meal. Total variable costs for the Hot Dog Meals are estimated to be $175,155.75. Assume that anticipated sales of other products, as well as their prices and variable costs, will remain the same. Required: 1. What is the sales mix of Buffalo Burger, Pizza, Meatloaf, Crab Cake, Veggie Burger, Fish Stick, and Hot Dog Meals? 2. How many units of each product does the company have to sell to break-even assuming the same sales mix? 3. Prepare a contribution margin operating income statement for Good'n'Yummy for the coming year. 4. What is the overall contribution margin ratio? 5. What is the margin of safety for the coming year in sales dollars? 6. By how much is Goodn'Yummy better or worse off with the addition of these four tasty meals? Show work. Sales Mix ACC3300 - Fall 2019 - Chapter 3 A-Lot-A Funwork SHOW ALL WORK AND BOX OR CIRCLE YOUR FINAL ANSWERS! Round all final answers to 2 decimal places, if applicable. Exercise 1) Good'n'Yummy produces and sells some tasty TV dinners (Buffalo Burger, Crab Cake, and a Pizza Meal). Last year, Good 'n'Yummy sold 14,154 Buffalo Burger Meals, 42,462 Pizza Meals, and 28,308 Crab Cake Meals. Fixed costs during the last year were $30,571.53. Information on the two products is as follows: Buffalo Burger Meal Crab Cake Meal Pizza Meal Sales Price $9.20 $8.50 $5.50 Variable Cost Ratio 45% 58% 44% Some of the employees at Good'n'Yummy came up with a great idea to add a Meatloaf Meal, a Hot Dog Meal, a Fish Stick Meal, and a Veggie Burger Meal!!! The company estimates that 7,077 Meatloaf Meals can be sold at a price of $7.05 and a contribution margin per unit of $3.85. The company estimates that 63,693 Hot Dog Meals can be sold with a markup of 104 percent of variable costs. The company estimates that 49,539 Fish Stick Meals can be sold at a price of $6.84 and a variable cost per unit of $3.07. The company estimates that 21.231 Veggie Burger Meals can be sold and will have a variable cost of $2.97 and a contribution margin ratio of 67 percent. Fixed cost will be increased by $9.902.66 due to the addition of the Meatloaf Meal, $13.132.13 for the addition of the Hot Dog Meal, $17.001.01 for the addition of the Fish Stick Meal, and $10,789.87 for the addition of the Veggie Burger Meal. Total variable costs for the Hot Dog Meals are estimated to be $175,155.75. Assume that anticipated sales of other products, as well as their prices and variable costs, will remain the same. Required: 1. What is the sales mix of Buffalo Burger, Pizza, Meatloaf, Crab Cake, Veggie Burger, Fish Stick, and Hot Dog Meals? 2. How many units of each product does the company have to sell to break-even assuming the same sales mix? 3. Prepare a contribution margin operating income statement for Good'n'Yummy for the coming year. 4. What is the overall contribution margin ratio? 5. What is the margin of safety for the coming year in sales dollars? 6. By how much is Goodn'Yummy better or worse off with the addition of these four tasty meals? Show work