Smith Company can produce two types of carpet cleaners, Brighter and Cleaner. Data on these two products are as follows: 1600 Sales volume in units Unit sales price Unit variable cost Brighter 400 $750 300 cleaner 600 $1,000 450 The number of machine hours to produce one unit of Brighter is 1, while the number of machine hours for each unit of Cleaner is 2. Total fixed costs for the manufacture of both products are $265,200. Required: 1. Determine the breakeven point in total units for Smith Company, based on the assumption that the sales mix (on the basis of relative sales volume in units) remains constant. Use the weighted average contribution margin approach. 2. At this breakeven level, how many units of each product must be sold? Due to rounding, the total breakeven units for Requirement 2 may differ slightly than in Requirement 1. 3. Using the Indirect approach, what is the overall breakeven point in sales dollars? Use the breakeven units computed In Requirement in the tabs below. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete this question by entering your answers in the tabs below. Required 1 | Required 2 Required 3 Determine the breakeven point in total units for Smith Company, based on the assuming that the sales mix on the basis of relative sales volume in units) remains constant. Use the weighted average contribution margin approach. (Round Sales mix (based on units)" and "Weighted average contribution margin/unit" to 2 decimal places.) Brighter Cleaner 0.00 Contribution margin/unit Sales mix (based on units) Weighted average CM per unit Total fixed costs to be recovered + Weighted average CM per unit Total units to breakeven Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 At this breakeven level, how many units of each product must be sold? Due to rounding, the total breakeven units for Requirement 2 may differ slightly than in Requirement 1. (Round "Sales mix" to 2 decimal places.) Brighter Cleaner 0.00 Sales mix Breakdown Check my work 2. At this preakeven level, now many units of each product must be solar vue to rounding, the total breakeven units for requirement may differ slightly than in Requirement 1. 3. Using the Indirect approach, what is the overall breakeven point in sales dollars? Use the breakeven units computed in Requirement Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Using the Indirect approach, what is the overall breakeven point in sales dollars? Use the breakeven units computed in Requirement 1. (Do not round intermediate calculations.) 2 Overall breakeven point in sales dollars
