Jones New York,a member of the Saville group of designers,currently sells men's and women's designer suits.The average selling price and variable cost for each suit are as follows:
Women's Price: $18.00 Men's Price: $15
Variable cost: $12.75 Variable cost: $10.5
Fixed costs are $30,000 and cannot be separated evenly between the two products.
Required:
a.What is the breakeven point in units for each type of suit assuming the sales mix is 2:1 in favour of Female suits? Total sales cannot exceed 7,000 units due to space constraints.
b.What is the operating income assuming the sales mix is 2:1 in favour of Female suits and sales total 9,900 suits?

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The Answer of Jones New York,a member of the Saville group of designers,currently sells men's and women's designer suits.The average selling price and variable cost for each suit are as follows:
Women's Price: $18.00 Men's Price: $15
Variable cost: $12.75 Variable cost: $10.5
Fixed costs are $30,000 and cannot be separated evenly between the two products.
Required:
a.What is the breakeven point in units for each type of suit assuming the sales mix is 2:1 in favour of Female suits? Total sales cannot exceed 7,000 units due to space constraints.
b.What is the operating income assuming the sales mix is 2:1 in favour of Female suits and sales total 9,900 suits?

Jones New York,a Member of the Saville Group of Designers,currently