Question
Tops Company sells Products D and E and has made the following estimates for the coming year: ProductUnit Selling PriceUnit Variable CostSale Mix D$30$2460%E705640 Fixed
Tops Company sells Products D and E and has made the following estimates for the coming year:
ProductUnit Selling PriceUnit Variable CostSale MixD$30$2460%E705640
Fixed costs are estimated at $202,400.
a.Determine the estimated sales in units of the overall product necessary to reach the break-even point for the coming year. Round intermediate calculations to the nearest cent.
units
b.Determine the estimated number of units of each product necessary to be sold to reach the break-even point for the coming year.
Product DunitsProduct Eunits
c.Determine the estimated sales in units of the overall product necessary to realize an operating income of $119,600 for the coming year.
units
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Project Management Accounting
Authors: Kevin R Callahan, Gary S Stetz, Lynne M Brooks
2nd Edition
1118078209, 9781118078204
