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Skippy's Scooters plans to sell a standard scooter for $800 and a chrome scooter for $1250. Skippy's purchases the standard scooter for $600 and the
Skippy's Scooters plans to sell a standard scooter for $800 and a chrome scooter for $1250. Skippy's purchases the standard scooter for $600 and the chrome scooter for $550. Skippy's expects to sell one standard scooter for every three chrome scooters. Skippy's monthly fixed costs are $598,000. Read the requirements, Requirement 1. How many of each type of scooter must Skippy's Scooters soll each month to break oven? Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of productstotal scooters to be sold. (Enter a 'O' for any zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Wolghted avg. CM = weighted average contribution margin.) Target profit ) Weighted-avg, CM per unit = Required sales in units Fixed costs 598,000 ( S X i Requirements 1. How many of each type of scooter must Skippy's Scooters sell each month to break even? 2. How many of each type of scooter must Skippy's Scooters sell each month to eam $1,035,000? 3. Suppose Skippy's expectation to sell one standard scooter for every three chrome scooters was incorrect and for every four scooters sold two are standard scooters and two are chrome scooters, Will the breakeven point of total scooters increase or decrease? Why? (Calculation not required.) Print Done
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