Reference no: EM132782634
Rojin Company prepared the following budget information for the coming year:
Product A Product B Product C Total
Sales $300,000 $200,000 $ 100,000 $600,000
Variable expenses 75,000 90,000 57,000 222,000
Contribution margin $225,000 $110,000 $43,000 $378,000
Fixed expense 200,000
Operating income $178,000
The budget assumes the sale of 20,000 units of A, 100,000 units of B, and 80,000 units of C.
When answering the following ensure you round to the nearest dollar - do not enter any pennies or decimals.:
Problem 1: What is the companies break even point in sales dollars given the sales mix above?
Problem 2: If the budgeted sales mix is maintained, what is the operating income is 300,000 units are sold?:
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