Question
Tiger Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data. Pairs of Shoes
Tiger Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data.
| Pairs of Shoes | Pairs of Gloves | Range- Finder | |||||||
| Unit sales price | $102 | $28 | $240 | ||||||
| Unit variable costs | 58 | 10 | 200 | ||||||
| Unit contribution margin | $44 | $18 | $40 | ||||||
| Sales mix | 30 | % | 40 | % | 30 | % | |||
Fixed costs are $583,200.
Calculate weighted-average unit contribution margin. (Round answer to 2 decimal places e.g. 10.25.)
Calculate weighted-average unit contribution margin. (Round answer to 2 decimal places e.g. 10.25.)
| Weighted-average unit contribution margin | $ |
Compute the break-even point in units for the company.
| Break-even point | ?units |
Determine the number of units to be sold at the break-even point for each product line.
| Shoes | ? | pairs of shoes | |
| Gloves | ? | pairs of gloves | |
| Range Finders | ? | range-finders |
Verify that the mix of sales units to be sold at the break-even point for each product line will generate a zero net income.
| Tiger Golf Accessories CVP Income Statament | ||||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | $ | |||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | ||||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | ||||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | $ | |||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | ||||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | $ | |||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | ||||
| Contribution MarginFixed CostsGross ProfitNet Income (Loss)Sales - GlovesSales - Range-FindersSales - ShoesTotal SalesVariable Costs | $ | |||
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Financial Accounting An Introduction to Concepts, Methods and Uses
Authors: Roman L. Weil, Katherine Schipper, Jennifer Francis
14th edition
978-1111823450, 1-133-36617-1 , 1111823456, 978-1-133-3661, 978-1133591023
