Edgewater Enterprises manufactures two products. Information follows: Product A $ 18.50 $ 6.85 40% Sales price Variable cost per unit Product mix M6-19 [LO 6-6] Product B $21.75 $ 7.55 60% Suppose that each product's sales price increases by 20 percent. Sales mix remains the same and total fixed costs are $300,000. Required: Calculate the new break-even point in units for Edgewater. Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.
Edgewater Enterprises manufactures two products. Information follows: Product A $ 18.50 $ 6.85 40% Sales price Variable cost per unit Product mix M6-19 [LO 6-6] Product B $21.75 $ 7.55 60% Suppose that each product's sales price increases by 20 percent. Sales mix remains the same and total fixed costs are $300,000. Required: Calculate the new break-even point in units for Edgewater. Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
narubhai
![Edgewater Enterprises manufactures two products. Information follows:
Product A
$ 18.50
$6.85
40%
Sales price
Variable cost per unit
Product mix
M6-19 [LO 6-6]
Product B
$ 21.75
$ 7.55
60%
Suppose that each product's sales price increases by 20 percent. Sales mix remains the same and total fixed costs are $300,000.
Required:
Calculate the new break-even point in units for Edgewater.
Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.
Units of Product A
Units of Product B](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8666fb30-93a6-4794-b0e4-8d4d5517d572%2F56aea583-8515-4ae9-b3a7-21d4c822f58c%2F6nchn7i_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Edgewater Enterprises manufactures two products. Information follows:
Product A
$ 18.50
$6.85
40%
Sales price
Variable cost per unit
Product mix
M6-19 [LO 6-6]
Product B
$ 21.75
$ 7.55
60%
Suppose that each product's sales price increases by 20 percent. Sales mix remains the same and total fixed costs are $300,000.
Required:
Calculate the new break-even point in units for Edgewater.
Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.
Units of Product A
Units of Product B
![Edgewater Enterprises manufactures two products. Information follows:
Product A
$ 18.50
$ 6.85
Sales price
Variable cost per unit
Product mix
M6-18 [LO 6-6]
408
Product B
$ 21.75
Answer is complete but not entirely correct.
Units of Product A
25,752 X
Units of Product B
21,128
$ 7.55
60%
Required:
Calculate the break-even point in units if Edgewater's total fixed costs are $300,000.
Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8666fb30-93a6-4794-b0e4-8d4d5517d572%2F56aea583-8515-4ae9-b3a7-21d4c822f58c%2F53sjv18_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Edgewater Enterprises manufactures two products. Information follows:
Product A
$ 18.50
$ 6.85
Sales price
Variable cost per unit
Product mix
M6-18 [LO 6-6]
408
Product B
$ 21.75
Answer is complete but not entirely correct.
Units of Product A
25,752 X
Units of Product B
21,128
$ 7.55
60%
Required:
Calculate the break-even point in units if Edgewater's total fixed costs are $300,000.
Note: Round your intermediate calculations to 2 decimal places and final answers to the nearest whole number.
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 4 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