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The Gong Company produces and sells three types of jigsaws, variable speed ( A ) , single speed ( B ) and variable speed with

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The Gong Company produces and sells three types of jigsaws, variable speed(A), single speed(B) and
variable speed with auto-scrolling(C). Budgeted data is given below:
Budgeted total fixed costs are $700,000.
Instructions)
a. Calculate the break-even point in sales dollars for each product based on the budgeted sales mix.
b. Determine the sales dollars of each product needed to generate a budgeted after tax profit of
$245,000. Assume a 50% tax rate.
c. Determine the sales dollars of each product needed to generate a 15% budgeted return on sales
dollars after taxes.
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