The StackpoleStackpole Company retails two$$ products: a standard and a deluxe version of a luggage carrier. The budgeted income statement for next period is as$$ follows:

LOADING... $($Click the icon to view the budgeted income$$ statement.$)$

Read the requirements LOADING... $.$

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Part $1$

Requirement $1.$ Compute the breakeven point in$$ units, assuming that the company achieves its planned sales mix.

Begin by determining the sales mix. For every $1$ deluxe unit$($s$)$ sold,

standard units are sold.

Part $2$

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.

Part $3$

Fixed costs

$-$:

$=$

Breakeven point in bundles

$-$:

$=$

Part $4$

The breakeven point is

standard units and

deluxe units.

Part $5$

Requirement $2.$ Compute the breakeven point in units$($a$)$ if only standard carriers are sold and$($b$)$ if only deluxe carriers are sold.

Part $6$

$($a$)$ If only standard carriers are sold, the breakeven point is

units.

$($b$)$ If only deluxe carriers are sold, the breakeven point is

units.

Part $7$

Requirement $3.$ Suppose $250$ comma $000250,000$ units are sold but only $50$ comma $00050,000$ of them are deluxe. Compute the operating income. Compute the breakeven point in units. Compare your answer with the answer to requirement $1.$ What is the major lesson of this$$ problem?

Compute the operating income if $250$ comma $000250,000$ units are sold but only $50$ comma $00050,000$ of them are deluxe.

Standard Carrier

Deluxe Carrier

Total

Units sold

Revenues at $$28$ and $$50$ per unit

Variable costs at $$18$ and $$30$ per unit

Contribution margin

Fixed costs

Operating income

Part $8$

Before calculating the breakeven$$ points, determine the new sales mix.

For every $1$ deluxe carrier sold,

standard carriers are sold.

Part $9$

Compute the breakeven point in$$ units, assuming the new sales mix. $($Round your answers up to the next whole$$ number.$)$

The breakeven point is

standard units and

deluxe units.

Part $10$Data table

Compare your answer with the answer to requirement $1.$ What is the major lesson of this$$ problem?

The major lesson of this problem is that changes in the sales mix change

$$

breakeven points and operating incomes

neither breakeven points nor operating incomes

only breakeven points

only operating incomes

$.$ In this$$ example, the budgeted and actual total sales in number of units were$$ identical, but the proportion of the product having the

$$

higher

lower

contribution margin declined. Operating income

$$

improved

stayed the same

suffered

and the breakeven point

$$

fell

rose

stayed the same

$.$