Levels Tought:
Elementary,Middle School,High School,College,University,PHD
Teaching Since: | May 2017 |
Last Sign in: | 303 Weeks Ago, 4 Days Ago |
Questions Answered: | 66690 |
Tutorials Posted: | 66688 |
MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
6-3Â
|
Snow Cap Springs produces and sells water filtration systems for homeowners.
Information regarding its three models is shown below.
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 Units sold |
Basic 750 |
Basic Plus 450 |
Premium 300 |
Total 1,500 |
Selling price |
$250 |
$400 |
$800 |
 |
Variable costs |
$195 |
$288 |
$416 |
 |
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The company’s total fixed costs to produce the filtration systems are $165,480.
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(a)Â Â Determine the sales mix as a function of units sold for the three products.
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(b)Â Â Determine the weighted-average unit contribution margin.
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(c)Â Â Determine the total number of units that the company must produce to break even.
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(d)Â Â Determine the number of units of each model that the company must produce to break even.
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