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ACC - More-power company




Question;More-power company has projected sales of 75,000 regular sanders and 30,000 mini-sanders for the next year.The projected income statement is as follows:Regular sanders mini-sanders TotalSales 3,000,000 1,800,000 4,800,000Less:variable 1,800,000 900,000 2,700,000expensesContribution margin 1,200,000 900,000 2,100,000Less:direct fixed 250,000 450,000 700,000Product margin 950,000 450,000 1,400,000Less:common fixed 600,000expensesoperating income 800,000expenses1.set up the given income statement on a spreadsheet.Then,substitute the following sales mixes, and calculate operating income.Regular sanders mini-sandera.75,000 37,500b.60,000 60,000c.30,000 90,000d.30,000 60,0002.Calculate the break-even units for each product for each of the preceding sales mixes.


Paper#41530 | Written in 18-Jul-2015

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