A compute the contribution margin for each product b

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Reference no: EM13387506

Sprint Manufacturing Company produces two products, X and Y. The following information is presented for both products:

X Y

Selling price per unit $30 $20

Variable cost per unit 20 5

Total fixed costs are $292,500.

Required:

a. Calculate the contribution margin for each product.

b. Calculate breakeven point in units of both X and Y if the sales mix is 3 units of X for every unit of Y.

c. Calculate breakeven volume in total dollars if the sales mix is 2 units of X for every 3 units of Y.

Reference no: EM13387506

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