IMA Shop Ltd produces three products. Cost, price, and volume data is shown below:
* Total Fixed Costs: $2,400
* Tax Rate: 30%
$$\begin{array} { | l | l | l | l | }
\hline & \text { Chacolate Ice Creamn } & \text { Milkthale } & \text { Furger } \
\hline \text { Narmal Valume } & 300 & 150 & 200 \
\hline \text { Price per unit } & \$ 5 & \$ 7 & \$ 10 \
\hline \text { Var iable cast per unit } & \$ 2 & \$ 3 & \$ 4 \
\hline
\end{array}$$ When using units as the measure, what proportion of the sales mix do milkshakes represent? Round to the nearest whole percent.

Question

IMA Shop Ltd produces three products. Cost, price, and volume data is shown below: 
* Total Fixed Costs: $2,400
* Tax Rate: 30%
$$\begin{array} { | l | l | l | l | } 
\hline & \text { Chacolate Ice Creamn } & \text { Milkthale } & \text { Furger } \
\hline \text { Narmal Valume } & 300 & 150 & 200 \
\hline \text { Price per unit } & \$ 5 & \$ 7 & \$ 10 \
\hline \text { Var iable cast per unit } & \$ 2 & \$ 3 & \$ 4 \
\hline
\end{array}$$ When using units as the measure, what proportion of the sales mix do milkshakes represent? Round to the nearest whole percent.

Quizplus · Accepted Answer

The sales mix is the proportion of each product's sales to the total sales. To calculate the sales mix, we need to multiply the price per unit by the normal volume for each product and then divide the result by the total sales.Total sales = (Price per unit of Chocolate Ice Cream * Normal Volume of Chocolate Ice Cream) + (Price per unit of Milkshake * Normal Volume of Milkshake) + (Price per unit of Furger * Normal Volume of Furger)Total sales = ($5 * 300) + ($7 * 150) + ($10 * 200)Total sales = $1,500 + $1,050 + $2,000Total sales = $4,550Sales mix of Milkshake = (Price per unit of Milkshake * Normal Volume of Milkshake) / Total salesSales mix of Milkshake = ($7 * 150) / $4,550Sales mix of Milkshake = $1,050 / $4,550Sales mix of Milkshake = 0.2308Sales mix of Milkshake rounded to the nearest whole percent is 23%.

IMA Shop Ltd Produces Three Products When Using Units as the Measure, What Proportion of the Data