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Luther Inc

Question 146

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Luther Inc.has two products: Normal (unit sales price,$30;unit variable cost,$15)and Hybrid (unit sales price,$35;unit variable cost,$20).The company's sales mix of the Normal to the Hybrid is 3:2 and fixed costs are $42,000.
a.Determine the weighted-average contribution margin.
b.Calculate the weighted-average breakeven point.
c.Compute the breakeven point for each product.

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