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Sandhill Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Lawnmowers Weed-trimmers Chainsaws Sales Mix 20 % 50 % 30 % Unit Contribution Margin Sandhill Tools has fixed costs of $4,253,400. $31 $21 $37

Sandhill Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Lawnmowers Weed-trimmers Chainsaws Sales Mix 20 % 50 % 30 % Unit Contribution Margin Sandhill Tools has fixed costs of $4,253,400. $31 $21 $37

FINANCIAL ACCOUNTING
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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Sandhill Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Lawnmowers Weed-trimmers Chainsaws Lawnmowers Weed-trimmers Sales Mix Chainsaws: 20 % 50 % 30 % Sandhill Tools has fixed costs of $4,253,400. Compute the number of units of each product that Sandhill Tools must sell in order to break even under this product mix. Unit Contribution Margin $31 $21 $37 Break-even point in units Ohits units units
Transcribed Image Text:Sandhill Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Lawnmowers Weed-trimmers Chainsaws Lawnmowers Weed-trimmers Sales Mix Chainsaws: 20 % 50 % 30 % Sandhill Tools has fixed costs of $4,253,400. Compute the number of units of each product that Sandhill Tools must sell in order to break even under this product mix. Unit Contribution Margin $31 $21 $37 Break-even point in units Ohits units units
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