For every 3 Zip Rider Adventure tickets sold, 2 Dog Sledding tickets are expected to be sold. The anticipated sales price for the Dog Sledding Excursion is $100 per excursion. He also believes he can save $5 per excursion for transportation, since the dog sledding site is much closer to the port than the Zip Rider Adventure. No other changes in variable costs are anticipated. He also has negotiated the following changes in rental fees and medical insurance premiums. • With fewer excursions purchased, the rental for the zip line facility will decrease to $33,000 per year, bu the lease on the dog sledding equipment will be $12,000 per year. • Medical insurance premiums are anticipated to be renegotiated. Jordan believes the estimated annual cost will be $23,750. Assuming no changes are made to the current sales prices and variable costs for the Zip Rider Adventure excursion, prepare a sales mix analysis and calculate the expected weighted average contribution margin for both excursions. Zip Rider Adventure Dog Sledding Totals Excursions 3 2 5 Alaskan Cruise Excursions Sales Mix Analysis For the year ended December 31, 20XX Sales mix % % Sales price per unit $80 Variable cost per unit $35 Contribution margin per unit $45 Weighted average contribution margin per unit $
For every 3 Zip Rider Adventure tickets sold, 2 Dog Sledding tickets are expected to be sold. The anticipated sales price for the Dog Sledding Excursion is $100 per excursion. He also believes he can save $5 per excursion for transportation, since the dog sledding site is much closer to the port than the Zip Rider Adventure. No other changes in variable costs are anticipated. He also has negotiated the following changes in rental fees and medical insurance premiums. • With fewer excursions purchased, the rental for the zip line facility will decrease to $33,000 per year, bu the lease on the dog sledding equipment will be $12,000 per year. • Medical insurance premiums are anticipated to be renegotiated. Jordan believes the estimated annual cost will be $23,750. Assuming no changes are made to the current sales prices and variable costs for the Zip Rider Adventure excursion, prepare a sales mix analysis and calculate the expected weighted average contribution margin for both excursions. Zip Rider Adventure Dog Sledding Totals Excursions 3 2 5 Alaskan Cruise Excursions Sales Mix Analysis For the year ended December 31, 20XX Sales mix % % Sales price per unit $80 Variable cost per unit $35 Contribution margin per unit $45 Weighted average contribution margin per unit $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Note:-
- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
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![For every 3 Zip Rider Adventure tickets sold, 2 Dog Sledding tickets are expected to be sold. The anticipated
sales price for the Dog Sledding Excursion is $100 per excursion. He also believes he can save $5 per
excursion for transportation, since the dog sledding site is much closer to the port than the Zip Rider
Adventure. No other changes in variable costs are anticipated. He also has negotiated the following changes
in rental fees and medical insurance premiums.
• With fewer excursions purchased, the rental for the zip line facility will decrease to $33,000 per year, bu
the lease on the dog sledding equipment will be $12,000 per year.
• Medical insurance premiums are anticipated to be renegotiated. Jordan believes the estimated annual
cost will be $23,750.
Assuming no changes are made to the current sales prices and variable costs for the Zip Rider Adventure
excursion, prepare a sales mix analysis and calculate the expected weighted average contribution margin for
both excursions.
Zip Rider
Adventure
Dog
Sledding
Totals
Excursions
2
5
Alaskan Cruise Excursions
Sales Mix Analysis
For the year ended December 31, 20XX
Sales mix
%
%
Sales price per
unit
$80
$_]]]
Variable cost
per unit
$35
Contribution
margin per
unit
$45
Weighted
average
contribution
margin per
unit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc885c6d4-ae13-44c3-87d0-90cea7bbe2b2%2F278a997e-8507-4627-9dfb-1d11fc77f0f3%2F7decse_processed.jpeg&w=3840&q=75)
Transcribed Image Text:For every 3 Zip Rider Adventure tickets sold, 2 Dog Sledding tickets are expected to be sold. The anticipated
sales price for the Dog Sledding Excursion is $100 per excursion. He also believes he can save $5 per
excursion for transportation, since the dog sledding site is much closer to the port than the Zip Rider
Adventure. No other changes in variable costs are anticipated. He also has negotiated the following changes
in rental fees and medical insurance premiums.
• With fewer excursions purchased, the rental for the zip line facility will decrease to $33,000 per year, bu
the lease on the dog sledding equipment will be $12,000 per year.
• Medical insurance premiums are anticipated to be renegotiated. Jordan believes the estimated annual
cost will be $23,750.
Assuming no changes are made to the current sales prices and variable costs for the Zip Rider Adventure
excursion, prepare a sales mix analysis and calculate the expected weighted average contribution margin for
both excursions.
Zip Rider
Adventure
Dog
Sledding
Totals
Excursions
2
5
Alaskan Cruise Excursions
Sales Mix Analysis
For the year ended December 31, 20XX
Sales mix
%
%
Sales price per
unit
$80
$_]]]
Variable cost
per unit
$35
Contribution
margin per
unit
$45
Weighted
average
contribution
margin per
unit
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