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These two pictures are one question and related ? 6 7 Instructions: Read the Problem Data and complete the calculations section. Enter data in the

These two pictures are one question and related ?

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6 7 Instructions: Read the Problem Data and complete the calculations section. Enter data in the blue cells and formulas in the yellow cells. Gray cells require no entry. . 8 9 10 Problem Data 11 12 XYZ Co. sells four products, Products A, B, C and D. Typical sales data for all products are: 13 14 Products Unit Selling Price Unit Variable Cost Weight in Sales Mix 15 Product A $ 15.00 $ 7.18 35% 16 Product B 18.00 8.00 30% 17 Product C 11.00 5.25 25% 18 Product D 20.00 11.19 10% 19 20 Estimated Fixed Costs for the most current year are $85,650 21 22 23 Calculations 24 25 1. Determine the Unit Contribution Margin for each of the four products, and the Unit Weighted Average Contribution Margin for ABC Co. 26 27 Products Cont. Margin sales mix weight Weighted CM 28 Product A enter data in blue cells 29 Product B 30 Product C enter formulas in yellow cells 31 Product D 32 33 Total Weighted Average CML 34 35 36 2. Determine the estimated TOTAL units of sales necessary to reach the break-even for the year, and achieve net Income of $120,000. 37 38 39 Break-Even = units 40 round to whole units! 41 42 43 44 3. Based on your findings in #2, determine how many of each product must be sold in order to break-even and achieve net income of $120,000. 45 46 Products Break-Even units 47 Product 1 48 Product 2 49 Product 3 use the ROUND function to round to whole units! 50 Product 4 51 52 Total note: this total should equal cell D39! 53 54 55 56

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