Sunland Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Sales Mix Unit Contribution Margin Lawnmowers 20 % $33 Weed-trimmers 50 % $22 Chainsaws 30 % $40 Sunland Tools has fixed costs of $4,321,600. Compute the number of units of each product that Sunland Tools must sell in order to break even under this product mix. Break-even point in units Lawnmowers enter a number of units units Weed-trimmers enter a number of units units Chainsaws enter a number of units units
Sunland Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows. Sales Mix Unit Contribution Margin Lawnmowers 20 % $33 Weed-trimmers 50 % $22 Chainsaws 30 % $40 Sunland Tools has fixed costs of $4,321,600. Compute the number of units of each product that Sunland Tools must sell in order to break even under this product mix. Break-even point in units Lawnmowers enter a number of units units Weed-trimmers enter a number of units units Chainsaws enter a number of units units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Sunland Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix (as a percentage of total units) and unit contribution margin are as follows.
Sales Mix |
Unit Contribution
Margin |
||||
---|---|---|---|---|---|
Lawnmowers
|
20 | % | $33 | ||
Weed-trimmers
|
50 | % | $22 | ||
Chainsaws
|
30 | % | $40 |
Sunland Tools has fixed costs of $4,321,600.
Compute the number of units of each product that Sunland Tools must sell in order to break even under this product mix.
Break-even point in units
|
|||
---|---|---|---|
Lawnmowers |
enter a number of units
|
units | |
Weed-trimmers |
enter a number of units
|
units | |
Chainsaws |
enter a number of units
|
units |
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