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Author Question: Mats for Life produces yoga mats. Mat A sells for $60 and has a contribution margin ratio of 40%. ... (Read 73 times)

markburs

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Question 1

Harding Corporation sells two products, Standard and Supreme. Expected sales are 40,000 Standard and 60,000 Supreme. Standard's unit contribution margin is $30 and Supreme's is $60. Fixed expenses are $1,800,000. How many Standard units would Harding sell at the break-even point?
◦ 20,000
◦ 22,500
◦ 40,000
◦ 15,000

Question 2

Mats for Life produces yoga mats. Mat A sells for $60 and has a contribution margin ratio of 40%. Mat B sells for $100 and has a contribution margin ratio of 60%. This year the company sold a total of 80,000 mats, of which 30,000 were units of Mat A. At the break-even point, the company needs to sell 25,500 units of Mat A. How many units of Mat B were sold and what are the company's fixed costs?
◦ 50,000; $3,180,000
◦ 48,000; $3,648,000
◦ 50,000; $3,162,000
◦ 45,000; $3,540,000


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Marked as best answer by markburs on Feb 5, 2023

tharris7314

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markburs

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Reply 2 on: Feb 5, 2023
Wow, this really help


frankwu0507

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Reply 3 on: Yesterday
Excellent

 

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