Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenberg plans to
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Common fixed selling and administrative expenses total $85,000.
Required:
1. What is the sales mix estimated for next year (calculated to the lowest whole number for each product)?
2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans. How many ceiling fans and table fans are sold at break-even?
3. Prepare a contribution-margin-based income statement for Vandenberg, Inc., based on the unit sales calculated in Requirement 2.
4. What if Vandenberg, Inc., wanted to earn operating income equal to $14,400? Calculate the number of ceiling fans and table fans that must be sold to earn this level of operating income.
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1 Sales mix of ceiling fans to table fans 3000070000 37 2 Unit Unit Package Unit Variable Contributi...View the full answer
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