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The Konopka Company has three product lines of belts A, B, and Cwith contribution margins of $6, $4, and $3, respectively. The president foresees sales
The Konopka Company has three product lines of belts A, B, and Cwith contribution margins of $6, $4, and $3, respectively. The president foresees sales of 192,000 units in the coming period, consisting of 24,000 units of A, 96,000 units of B, and 72,000 units of C. The company's fixed costs for the period are $465,000. Read the requirements. . Requirement 1. What is the company's breakeven point in units, assuming that the given sales mix is maintained? Begin by determining the sales mix. For every 1 unit of A, V units of B are sold, and V units of C are sold. Determine the formula used to calculate the breakeven point when there is more than one product sold, then enter the amounts in the formula to calculate the breakeven point in bundles. Breakeven point in bundles Requirements The breakeven point is units of A, units of B, and units of C. Requirement 2. If the sales mix is maintained, what is the total contribution margin when 192,000 units are sold? What is the operating in B Total 1. What is the company's breakeven point in units, assuming that the given sales mix is maintained? 2. If the sales mix is maintained, what is the total contribution margin when 192,000 units are sold? What is the operating income? 3. What would operating income be if 24,000 units of A, 72,000 units of B, and 96,000 units of C were sold? What is the new breakeven point in units if these relationships persist in the next period? Units sold Contribution margin Fixed costs Operating income Print Done Requirement 3. What would operating income be if 24,000 units of A, 72,000 units of B, and 96,000 units of C were sold? What is the new breakeven point in units if these relationships persist in the next period? Begin by completing the table below to calculate operating income. A B Total Units sold Contribution margin Fixed costs Operating income Now determine the new sales mix. For every 1 unit of A, units of B are sold, and V units of C are sold. Now calculate the breakeven point in bundles for this requirement, then determine the breakeven point for each product line. (Round to the nearest whole number.) The breakeven point is bundles. This translates to a breakeven point of units of A, units of B, and units of C
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