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The contribution margin income statement of Trepani Donuts for August 2018 follows: (Click the icon to view the contribution margin income statement.) Trepani sells five
The contribution margin income statement of Trepani Donuts for August 2018 follows: (Click the icon to view the contribution margin income statement.) Trepani sells five dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $4.00, with total variable cost of $1.60 per dozen. A dozen custard-filled donuts sells for $7.00, with total variable cost of $2.80 per dozen. Read the requirements. Requirement 1. Calculate the weighted average contribution margin. (Round all currency amounts to the nearest cent.) Total Sales price per unit $ Plain 4.00 $ 1.60 2.40 - Variable cost per unit Contribution margin per unit Filled 7.00 2.80 4.20 1 4.20 Sales mix in units 6 16.20 $ Contribution margin 12.00 $ $ $ 2.70 Weighted-average contribution margin per unit Requirement 2. Determine Trepani's monthly breakeven point in dozens of plain donuts and custard-filled donuts. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs: variable and fixed. We'll begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of productstotal dozens of donuts to be sold. (Complete all answer boxes. Enter a "0" for any zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM = weighted average contribution margin.) Target profit = + Required sales in units Fixed costs 48,600 Weighted-avg. CM per unit / $ 2.70 +
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