CO INC. sells two products, LIGO and CHA. The company sells these products at the rate of 2 units of LIGO and 3 units of CHA. The contribution margin per unit of LIGO is P4 and of CHA is P2. The total fixed costs is P420,000. The selling price of LIGO is P10 and CHA is P8. Questions: 1. What is the Weighted contribution margin per unit 2. What is the Weighted contribution margin ratio. Round-off to 4 decimal places. 3. What is the Break-even point in units

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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CO INC. sells two products, LIGO and CHA. The company sells these products at the rate of 2 units of LIGO and 3 units of CHA. The contribution margin per unit of LIGO is P4 and of CHA is P2. The total fixed costs is P420,000. The selling price of LIGO is P10 and CHA is P8.

Questions:
1. What is the Weighted contribution margin per unit
2. What is the Weighted contribution margin ratio. Round-off to 4 decimal places.
3. What is the Break-even point in units
4. What is the Break-even point in sales
5. What is the Break-even point in pesos for LIGO
6. What is the Break-even point is pesos for CHA

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