Sundial, Inc., produces two models of sunglasses-AU and NZ. the sunglasses have the following characteristics. Au NZ Selling price per unit $ 160 $ 160 Variable cost per unit $ 80 $ 60 Expected units sold per year 70,000 30,000 The total fixed costs per year for the company are $3,612,000. Required: a. What is the anticipated level of profits for the expected sales volumes? b. Assuming that the product mix is the same at the break-even point, compute the break-even point. c. If the product sales mix were to change to four pairs of UA sunglasses for each pair of NZ sunglasses, what would be the new break-even volume for Sundial, Inc? Complete the question by entering your answers in the tabs below. Required A What is the anticipated level of profits for the expected sales volumes? Anticipated profit $____?______ Required B Assuming that the product mix is the same at the break-even point, compute the break-even point. Break-even point ___?____ Units Required C If the product sales mix were to change to four pairs of UA sunglasses for each pair of NZ sunglasses, what would be the new break-even volume for Sundial, Inc? Break-even point ____?_____ units
Sundial, Inc., produces two models of sunglasses-AU and NZ. the sunglasses have the following characteristics.
Au NZ
Selling price per unit $ 160 $ 160
Variable cost per unit $ 80 $ 60
Expected units sold per year 70,000 30,000
The total fixed costs per year for the company are $3,612,000.
Required:
a. What is the anticipated level of profits for the expected sales volumes?
b. Assuming that the product mix is the same at the break-even point, compute the break-even point.
c. If the product sales mix were to change to four pairs of UA sunglasses for each pair of NZ sunglasses, what would be the new break-even volume for Sundial, Inc?
Complete the question by entering your answers in the tabs below.
Required A
What is the anticipated level of profits for the expected sales volumes?
Anticipated profit $____?______
Required B
Assuming that the product mix is the same at the break-even point, compute the break-even point.
Break-even point ___?____ Units
Required C
If the product sales mix were to change to four pairs of UA sunglasses for each pair of NZ sunglasses, what would be the new break-even volume for Sundial, Inc?
Break-even point ____?_____ units
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