Exercise 3-15A (Algo) Multiple product break-even analysis LO 3-6Fanning Company manufactures two products. The budgeted per-unit contribution margin for each product follows:Sales priceVariable cost per unitContribution margin per unitRequiredSuper$.92(60)a. Total number of productsb. Product Superb. Product Supreme$32Supreme$ 127Fanning expects to incur annual fixed costs of $199,100. The relative sales mix of the products is 70 percent for Super and 30 percentfor Supreme.(81)unitsunitsunits$.46a. Determine the total number of products (units of Super and Supreme combined) Fanning must sell to break even.b. How many units each of Super and Supreme must Fanning sell to break even?Note: For all requirements, do not round intermediate calculations.

Break even is the point where the product sales are equivalent to its cost i.e. it recovers all its…

Required a. Determine the total number of products (units of Super and Supreme combined) Fanning must sell to break even b. How many units each of Super and Supreme must Fanning sell to break even? Note: For all requirements, do not round intermediate calculations. a Total number of products b. Product Super b. Product Supreme units units units

Required a. Determine the total number of products (units of Super and Supreme combined) Fanning must sell to break even b. How many units each of Super and Supreme must Fanning sell to break even? Note: For all requirements, do not round intermediate calculations. a Total number of products b. Product Super b. Product Supreme units units units

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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