Bob's Textile Company sells shirts for men and boys.The average selling price and variable cost for each product are as follows:
Men's Boys
Selling price $28.80 $24.00
Variable cost $20.42 $16.80
Total fixed costs $38,400
Required:
Assume the sales mix is 2 men's shirts for each boy's shirt:
a. What is the weighted revenue per unit of composite average product,the weighted average variable cost,and the weighted contribution margin per unit of average product?
b. What is the break-even point in units for each type of shirt?
c. What is the operating income,assuming sales total 9,000 shirts?

Question

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The Answer of Bob's Textile Company sells shirts for men and boys.The average selling price and variable cost for each product are as follows:
Men's Boys
Selling price $28.80 $24.00
Variable cost $20.42 $16.80
Total fixed costs $38,400
Required:
Assume the sales mix is 2 men's shirts for each boy's shirt:
a. What is the weighted revenue per unit of composite average product,the weighted average variable cost,and the weighted contribution margin per unit of average product?
b. What is the break-even point in units for each type of shirt?
c. What is the operating income,assuming sales total 9,000 shirts?

Bob's Textile Company Sells Shirts for Men and Boys