Question

Please show work

X Company has the following information for its three products in 2018:

	Unit Sales	Contribution Margin
Product A	33,500	$3.50
Product B	7,700	$10.20
Product C	21,200	$13.30
Total	62,400	$27.00

Fixed costs in 2018 were $321,000. In 2019, the unit sales mix and fixed costs will be the same as in 2018, but sales will increase to 74,880 units. What will profit be [round all small numbers to two decimal places]?

Answer 1

	Unit Sales	Sales Mix %	Revised Sales in Unit Sales Mix% * 74880	Contribution Margin	Total Contrbution
Product A	33500	53.69%	40200	$3.50	$140,700.00
Product B	7700	12.34%	9240	$10.20	$94,248.00
Product C	21200	33.97%	25440	$13.30	$338,352.00
Total	62400		74880		$573,300.00
Less Fixed Cost					$321,000.00
			Answer Profit		$252,300.00