E6-23 (Algo) Multiproduct CVP Analysis [LO 6-6] Juniper Corp. makes three models of insulated thermos. Juniper has $313,000 in total revenue and total variable costs of $159,630. Its sales mix is given below: Percentage of total sales Thermos A 30 % Thermos B 50 Thermos C 20 Suppose Juniper has improved its manufacturing process and expects total variable costs to decrease by 20 percent. The company expects sales revenue to remain stable at $313,000. Required: 1. Calculate the new weighted-average contribution margin ratio. 2. Determine total sales that Juniper needs to break even if fixed costs after the manufacturing improvements are $60,600. 3. Determine the total sales revenue that Juniper must generate to earn a profit of $138,095. 4. Determine the sales revenue from each product needed to generate a profit of $138,095.
E6-23 (Algo) Multiproduct CVP Analysis [LO 6-6] Juniper Corp. makes three models of insulated thermos. Juniper has $313,000 in total revenue and total variable costs of $159,630. Its sales mix is given below: Percentage of total sales Thermos A 30 % Thermos B 50 Thermos C 20 Suppose Juniper has improved its manufacturing process and expects total variable costs to decrease by 20 percent. The company expects sales revenue to remain stable at $313,000. Required: 1. Calculate the new weighted-average contribution margin ratio. 2. Determine total sales that Juniper needs to break even if fixed costs after the manufacturing improvements are $60,600. 3. Determine the total sales revenue that Juniper must generate to earn a profit of $138,095. 4. Determine the sales revenue from each product needed to generate a profit of $138,095.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please help me.
Thankyou.
![E6-23 (Algo) Multiproduct CVP Analysis [LO 6-6] Juniper Corp.
makes three models of insulated thermos. Juniper has
$313,000 in total revenue and total variable costs of $159,630.
Its sales mix is given below: Percentage of total sales
Thermos A 30 %
Thermos B 50
Thermos C 20
Suppose Juniper has improved its manufacturing process and
expects total variable costs to decrease by 20 percent. The
company expects sales revenue to remain stable at $313,000.
Required: 1. Calculate the new weighted-average contribution
margin ratio.
2. Determine total sales that Juniper needs to break even if
fixed costs after the manufacturing improvements are
$60,600.
3. Determine the total sales revenue that Juniper must
generate to earn a profit of $138,095.
4. Determine the sales revenue from each product needed to
generate a profit of $138,095.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0a566f77-d7e8-4910-9c09-a31d7141a31f%2F6d30bc8a-198b-4e89-b574-624c3a28a841%2Fr144bvt_processed.jpeg&w=3840&q=75)
Transcribed Image Text:E6-23 (Algo) Multiproduct CVP Analysis [LO 6-6] Juniper Corp.
makes three models of insulated thermos. Juniper has
$313,000 in total revenue and total variable costs of $159,630.
Its sales mix is given below: Percentage of total sales
Thermos A 30 %
Thermos B 50
Thermos C 20
Suppose Juniper has improved its manufacturing process and
expects total variable costs to decrease by 20 percent. The
company expects sales revenue to remain stable at $313,000.
Required: 1. Calculate the new weighted-average contribution
margin ratio.
2. Determine total sales that Juniper needs to break even if
fixed costs after the manufacturing improvements are
$60,600.
3. Determine the total sales revenue that Juniper must
generate to earn a profit of $138,095.
4. Determine the sales revenue from each product needed to
generate a profit of $138,095.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 5 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education