Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Thomass Donuts sells three types of donuts: sugar-glazed, cream-filled and giant-sized. The following table shows the sales price and variable cost for each type. Thomass

Thomass Donuts sells three types of donuts: sugar-glazed, cream-filled and giant-sized. The following table shows the sales price and variable cost for each type. Thomass incurs $211,680 a year in fixed costs. Assume that the store has a sales mix of three sugar-glazed, two cream-filled, and one giant-sized. Type Sales Price Variable Cost Contribution Margin Sugar-glazed $0.46 $0.30 $0.16 Cream-filled 0.62 0.34 0.28 Giant-sized 0.78 0.38 0.40

How many donuts of each type will be sold at the breakeven point? (Round answers to 0 decimal places, e.g. 25,000.) Sugar-glazed enter a number of donuts Cream-filled enter a number of donuts Giant-sized enter a number of donuts

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions