Yurus Manufacturing Company produces two products,X and Y.The following information is presented for both products:

Total fixed costs are $234,000.
Required:
a.Calculate the contribution margin for each product.
b.Calculate break-even point in units of both X and Y if the sales mix is 3 units of X for every unit of Y.
c.Calculate break-even volume in total dollars if the sales mix is 2 units of X for every 3 units of Y.

Question

Yurus Manufacturing Company produces two products,X and Y.The following information is presented for both products:
  
Total fixed costs are $234,000.
Required:
a.Calculate the contribution margin for each product.
b.Calculate break-even point in units of both X and Y if the sales mix is 3 units of X for every unit of Y.
c.Calculate break-even volume in total dollars if the sales mix is 2 units of X for every 3 units of Y.

Quizplus · Accepted Answer

The Answer of Yurus Manufacturing Company produces two products,X and Y.The following information is presented for both products:
  
Total fixed costs are $234,000.
Required:
a.Calculate the contribution margin for each product.
b.Calculate break-even point in units of both X and Y if the sales mix is 3 units of X for every unit of Y.
c.Calculate break-even volume in total dollars if the sales mix is 2 units of X for every 3 units of Y.

Yurus Manufacturing Company Produces Two Products,X and Y