。田。1 Normal 1 No Spac. Heading 1Heading 2Sc ReplaceTitleA SelectDictateSensitivityEditorFontParagraphStylesEditingVoiceSensitivityEditor4. Based upon the break-even sales (units) in part (3), determine the unit sales of kayaks andCanoes for the current year.5. The overall enterprise break-even point from (1) to (3) because the sales mix is weighted moretoward the product with the contribution margin per unit of product.I190Focusof 1English (United States)11:35 AM186 wordsENG11/3/2020P Type here to searchASUSpri sesysrqinsertf12pousebreak19 uto Save O OfDocument1WordP SearchHomeInsertDrawDesignLayoutAveryReferencesMailingsReviewViewHelp- A A Aav A8 ShareP CommentsVerdanaPFind -AaBbCcDc AaBbCcDc AaBbCc AaBbCcC AaB1 No Spac. Heading 1 Heading 2BIU ab x, x A A EE == E Oa E-e Replace1 NormalTitleA SelectDictateSensitivityEditorardFontParagraphStylesEditingVoiceSensitivityEditorSales Mix and Break-Even SalesData related to the expected sales of kayaks and canoes for River Sports Inc. for the current year,Ewhich is typical of recent years, are as follows:ProductsUnit Selling Price Unit Variable Cost Sales Mix$240$16020%Kayaks24080%510CanoesThe estimated fixed costs for the current year are $273,760.Focus11:35 AMENGEnglish (United States)11/3/2020186 wordsType here to searchASUS

Computation of Break-even sales(Units) in part (3)Assume: Sales mix was 80% Kayaks and 20%canoes If sales mix is 80%:20% i.e. 8:2Combined contribution margin per unit =$80 × 80%+$270 ×20% =$64+$54 =$118 Overall break even points in units =$273,760$118=2320 units Answer 4 Computation of Units sales of Kayaks and Canoes for the current year is as follows: Break-even sales (Units) Kayaks =2320 ×80%=1856 unitsCanoes =2320×20%=464 units Answer 5 The overall enterprice break-even point Increase from 1 to 3 because the sales mix is weighted more towards the product with Lower contribution margin per unit.

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4. Based upon the break-even sales (units) in part (3), determine the unit sales of kayaks and Canoes for the current year. 5. The overall enterprise break-even point from (1) to (3) because the sales mix is weighted more toward the product with the contribution margin per unit of product.

4. Based upon the break-even sales (units) in part (3), determine the unit sales of kayaks and Canoes for the current year. 5. The overall enterprise break-even point from (1) to (3) because the sales mix is weighted more toward the product with the contribution margin per unit of product.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Which of the following is true when sales units remain constant each month but production units fluctuate?a) Profit reported each month will always fluctuate in proportion to units producedb) Absorption cost inventory valuation will lead to a higher profit being reported than that where marginal cost inventory valuation is used where sales exceed productionc) Marginal cost inventory valuation will give a higher profit than absorption cost inventory valuation where sales exceed productiond) Marginal cost inventory valuation will result in the same profit being reported each month
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