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Stewart Co. is the producer of tires. They sell a constant mix of 3 Medium sized tires for every 2 small tires, and 4 medium
Stewart Co. is the producer of tires. They sell a constant mix of 3 Medium sized tires for every 2 small tires, and 4 medium tires for every 3 large tires.
Total fixed costs for the year are 2,037,550
(round all intermediate calculations to three decimal places)
Selling price per tire Small:100 Medium:150 Large:250
Variable Cost per tire S:60 M:96 L:160
What is the weighted average contribution margin ratio for each sized tire?
What is the breakeven point for each sized tire?
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