Determine the break-even point in units of AA and BB

Assignment Help Managerial Accounting
Reference no: EM132762602

Problem - Wide Open Industries Inc. has fixed costs of $475,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow:

Product

Selling Price

Variable Cost per Unit

Contribution Margin per Unit

AA

$145

$105

$40

BB

110

75

35

The sales mix for Products AA and BB is 60% and 40%, respectively. Determine the break-even point in units of AA and BB.

Reference no: EM132762602

Questions Cloud

Find company margin of safety as percent of current sales : Melton Inc. has sales of $1,750,000, and the break-even point in sales dollars is $875,000. Find the company's margin of safety as a percent of current sales
Determine the number of orders per year : Determine the number of orders per year. A mail-order house uses 16,190 boxes a year. Carrying costs are 60 cents per box a year, and ordering costs are $96
Compare technical vs fundamental analysis : Compare and Contrast (Technical vs Fundamental Analysis) with empirical evidence? Clearly demonstrate and interpret how the results from the above stated.
What price should the bond be sold if it purchased on nov : At what price should the bond be sold if it was purchased on 1st November 2013, is due to mature on 31st October 2023 but was instead sold on 1st November 2017?
Determine the break-even point in units of AA and BB : Wide Open Industries Inc. has fixed costs of $475,000. The sales mix for Products AA and BB is 60% and 40%, respectively. Determine the break-even point in unit
Find what amount should the noncurrent asset held for sale : The company commits to a plan to sell, At the time of reclassification as held for sale, what amount should the noncurrent asset held for sale be recognized?
Global competitive landscape and supply chain scan : Complete a global competitive landscape and supply chain scan for your selected organization and industry.
Find what amount of loss to be recognized by peter parker : Find What is the amount of loss to be recognized by Peter Parker Company in its income statement as a result of reclassification?
Find the break-even point in sales units : Versa Inc. sells a product for $100 per unit. The variable cost is $75 per unit, and fixed costs are $45,000. Find the break-even point in sales units

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd