Question

Business Solutions sells upscale modular desk units and office chairs in the ratio of 2:1 (desk...

Business Solutions sells upscale modular desk units and office chairs in the ratio of 2:1 (desk unit:chair). The selling prices are $1,240 per desk unit and $490 per chair. The variable costs are $740 per desk unit and $240 per chair. Fixed costs are $143,750.

Required:
1.
Compute the selling price per composite unit.
2. Compute the variable costs per composite unit.
3. Compute the break-even point in composite units.
4. Compute the number of units of each product that would be sold at the break-even point.

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Business Solutions sells upscale modular desk units and office chairs in the ratio of 3:2 (desk...
Business Solutions sells upscale modular desk units and office chairs in the ratio of 3:2 (desk unit:chair). The selling prices are $1,170 per desk unit and $420 per chair. The variable costs are $670 per desk unit and $170 per chair. Fixed costs are $300,000. Required: 1. Compute the selling price per composite unit. 2. Compute the variable costs per composite unit. 3. Compute the break-even point in composite units. 4. Compute the number of units of each product that...
Handy Home sells windows and doors in the ratio of 8:2 (windows:doors). The selling price of...
Handy Home sells windows and doors in the ratio of 8:2 (windows:doors). The selling price of each window is $112 and of each door is $262. The variable cost of a window is $68.50 and of a door is $181.00. Fixed costs are $459,000. (Enter your "per unit" values in two decimal places.) 1) Determine the selling price per composite unit. 2) Determine the variable costs per composite unit. 3) Determine the break even point in the composite units 4)...
Handy Home sells windows and doors in the ratio of 8:2 (windows:doors). The selling price of...
Handy Home sells windows and doors in the ratio of 8:2 (windows:doors). The selling price of each window is $118 and of each door is $268. The variable cost of a window is $71.50 and of a door is $184.00. Fixed costs are $324,000. (Enter your "per unit" values in two decimal places.) 1) Determine the selling price per composite unit.QuantitySelling Price per unitTotal per composite unitWindowsDoors(2) Determine the variable costs per composite unit.QuantityVariable costs per unitTotal per composite unitWindowsDoorsContribution...
Handy Home sells window and doors in the ratio of 4:1 (windows: doors). The selling price...
Handy Home sells window and doors in the ratio of 4:1 (windows: doors). The selling price of each window is $200 and of each door is $500. The variable cost of a window is $125 and of a door is $350. Fixed costs are $900,000. 1. Determine the contribution margin for one composite unit. 2. Compute the break-even point in composite units. 3. Compute the number of units of each product that will be sold at the break-even point. 4....
A firm sells two products, Regular and Ultra. For every unit of Regular sold, two units...
A firm sells two products, Regular and Ultra. For every unit of Regular sold, two units of Ultra are sold. The firm's total fixed costs are $1,876,000. Selling prices and cost information for both products follow. What is the firm's break-even point in units of Regular and Ultra? Product Unit Sales Price Variable Cost Per Unit Regular $ 25 $ 11 Ultra 28 7 Multiple Choice 33,500 Regular units and 33,500 Ultra units. 39,083 Regular units and 78,167 Ultra units....
Mott Company's sales mix is 3 units of A, 2 units of B, and 1 unit...
Mott Company's sales mix is 3 units of A, 2 units of B, and 1 unit of C. Selling prices for each product are $26, $36, and $46, respectively. Variable costs per unit are $21, $24, and $28, respectively. Fixed costs are $342,000. What is the break-even point in composite units?
33. Madison Corporation sells three products (M, N, and O) in the following mix: 3:1:2. Unit...
33. Madison Corporation sells three products (M, N, and O) in the following mix: 3:1:2. Unit price and cost data are: M N O Unit sales price $ 7 $ 4 $ 10 Unit variable costs 3 2 4 Total fixed costs are $360,000. The selling price per composite unit for the current sales mix (rounded to the nearest cent) is: 35.Flannigan Company manufactures and sells a single product that sells for $450 per unit; variable costs are $252. Annual...
1. Wang Co. manufactures and sells a single product that sells for $540 per unit; variable...
1. Wang Co. manufactures and sells a single product that sells for $540 per unit; variable costs are $324 per unit. Annual fixed costs are $836,000. Current sales volume is $4,290,000. Compute the contribution margin per unit. 2. A firm expects to sell 24,800 units of its product at $10.80 per unit and to incur variable costs per unit of $5.80. Total fixed costs are $68,000. The total contribution margin is: 3. McCoy Brothers manufactures and sells two products, A...
Break-Even Point Hilton Enterprises sells a product for $115 per unit. The variable cost is $76...
Break-Even Point Hilton Enterprises sells a product for $115 per unit. The variable cost is $76 per unit, while fixed costs are $357,435. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $123 per unit. a. Break-even point in sales units units b. Break-even point if the selling price were increased to $123 per unit units Target Profit Trailblazer Company sells a product for $245 per unit. The variable...
Hilton Enterprises sells a product for $104 per unit. The variable cost is $69 per unit,...
Hilton Enterprises sells a product for $104 per unit. The variable cost is $69 per unit, while fixed costs are $257,250. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $111 per unit. a. Break-even point in sales units units b. Break-even point if the selling price were increased to $111 per unit units