subject
Business, 27.03.2021 07:10 DaFuzzyDude

Fat Cat Furniture store sells two types of products; cat beds and scratching posts. Over the past year Fat at sold 6,000 cat beds and 4,000 scratching posts, the sales mix of 6,000 beds to 4,000 posts creates a percentage of 60% for the cat beds and 40% for the scratching posts. Fat Cat’s total fixed costs are $40,000. The cat bed’s unit selling price is $44.00 and variable costs per bed are $24.00. The scratching post’s unit selling price is $100.00 and variable cost per post is $30.00. 1.Calculate the weighted average contribution margin per unit. ($40)

2.Calculate Fat Cat’s breakeven point in units for the “package” of products.

3.Calculate how many units of each product line the company must sell in order to breakeven.

4.Calculate the sales dollars required of each product line to breakeven Do not use the weighted average contribution margin ratio formula due to rounding issues. May still use the weighted average contribution margin per unit formula.

5.Prove the breakeven point by preparing a contribution margin income statement Make sure to provide three columns: one for Cat Beds, one for Scratching Posts, and one for Total.

6.The owner of Fat Cat Furniture wants to earn a $60,000 profit. Calculate the sales volume in units and total sales dollars of each product line the company must sell in order to earn $60,000 in profit. Do not use the weighted average contribution margin ratio formula due to rounding issues. May still use the weighted average contribution margin per unit formula.

I need help especially on the 2nd question.

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 03:30
Joe said “your speech was really great, i loved it.” his criticism lacks which component of effective feedback? a) he did not recognize his ethical obligations b) he did not focus on behavior c) he did not stress the positive d) he did not offer any specifics
Answers: 2
question
Business, 22.06.2019 18:00
Abbington company has a manufacturing facility in brooklyn that manufactures robotic equipment for the auto industry. for year 1, abbingtonabbington collected the following information from its main production line: actual quantity purchased-200 units, actual quantity used-110 units, units standard quantity-100 units, actual price paid-$8 per unit, standard price-$10 per unit. atlantic isolates price variances at the time of purchase. what is the materials price variance for year 1? 1. $400 favorable. 2. $400 unfavorable. 3. $220 favorable. 4. $220 unfavorable.
Answers: 2
question
Business, 22.06.2019 18:00
During the holiday season, maria's department store works with a contracted employment agency to bring extra workers on board to handle overflow business, and extra duties such as wrapping presents. maria's is using during these rush times.
Answers: 3
question
Business, 23.06.2019 00:30
Dr. hughes enjoys offering to employees who perform over and above the call of duty
Answers: 1
You know the right answer?
Fat Cat Furniture store sells two types of products; cat beds and scratching posts. Over the past ye...
Questions
question
Mathematics, 11.12.2021 04:50
question
Mathematics, 11.12.2021 04:50
question
Biology, 11.12.2021 04:50
question
Physics, 11.12.2021 04:50
question
Chemistry, 11.12.2021 04:50
question
Mathematics, 11.12.2021 04:50
Questions on the website: 13722367