Cullumber Corporation sells three different models of a mosquito "zapper." Model A12 sells for $53 and has unit variable costs of $37.10. Model B22 sells for $106 and has unit variable costs of $74.20. Model C124 sells for $424 and has unit variable costs of $318. The sales mix (as a percentage of total units) of the three models is A12, 60%; B22, 15%; and C124, 25%.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 7PA: Manatoah Manufacturing produces 3 models of window air conditioners: model 101, model 201, and model...
icon
Related questions
Question
Cullumber Corporation sells three different models of a mosquito "zapper." Model A12 sells for $53 and has unit
variable costs of $37.10. Model B22 sells for $106 and has unit variable costs of $74.20. Model C124 sells for
$424 and has unit variable costs of $318. The sales mix (as a percentage of total units) of the three models is
A12, 60%; B22, 15%; and C124, 25%.
If the company has fixed costs of $269,346, how many units of each model must the company sell in order to
break even? (Round Per unit values to 2 decimal palces, e.g. 15.25 and final answers to 0 decimal places, e.g.
5,275.)
Model
A12
B22
C124
Total break-even point
units
Transcribed Image Text:Cullumber Corporation sells three different models of a mosquito "zapper." Model A12 sells for $53 and has unit variable costs of $37.10. Model B22 sells for $106 and has unit variable costs of $74.20. Model C124 sells for $424 and has unit variable costs of $318. The sales mix (as a percentage of total units) of the three models is A12, 60%; B22, 15%; and C124, 25%. If the company has fixed costs of $269,346, how many units of each model must the company sell in order to break even? (Round Per unit values to 2 decimal palces, e.g. 15.25 and final answers to 0 decimal places, e.g. 5,275.) Model A12 B22 C124 Total break-even point units
Expert Solution
steps

Step by step

Solved in 4 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning