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Compute the breakeven point for each product

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Question - Bone-Brain, Inc. had three products: a foot manicure kit (unit sales price $55; unit variable cost $25); a hand manicure kit (unit sales price $40; unit variable cost $15); and a hair kit (unit sales price, $75; unit variable cost $30). The company's sales mix of the products was 3:1:1 respectively. Fixed costs were $33,000 in total. Desired ending inventory was 5,500 units spread 2:2:1 respectively.

Required -

a) Compute the weighted-average contribution margin,

b) Compute the weighted-average breakeven point,

c) Compute the breakeven point for each product.

Reference no: EM132537663

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