ales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Laptops $1,400   $700   40%   Tablets 800   400   60%   The estimated fixed costs for the current year are $9,048,000. Required: 1.  Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year. Answer: ________ units 2.  Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year. Laptops ______ units Tablets  ______units 3.  Assume that the sales mix was 60% laptops and 40% tablets. Compare the break-even point with that in part (1). Why is it so different? Answer:________ units

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
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Sales Mix and Break-Even Sales

Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows:

Products Unit Selling Price Unit Variable Cost Sales Mix
Laptops $1,400   $700   40%  
Tablets 800   400   60%  

The estimated fixed costs for the current year are $9,048,000.

Required:

1.  Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year.
Answer: ________ units

2.  Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year.

Laptops ______ units
Tablets  ______units

3.  Assume that the sales mix was 60% laptops and 40% tablets. Compare the break-even point with that in part (1). Why is it so different?
Answer:________ units

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