Question

Juniper Corp. makes three models of insulated thermos. Juniper has $400,000 in total revenue and total variable costs of $240,000. Its sales mix is given below:
Percentage of Total Sales
Thermos A ... 35%
Thermos B ... 45
Thermos C ... 20

Required:
1. Calculate the (overall) weighted-average contribution margin ratio.
2. Determine the total sales revenue Juniper needs to break even if fixed costs are $80,000.
3. Determine the total sales revenue needed to generate a profit of $90,000.
4. Determine the sales revenue from each product needed to generate a profit of $90,000.



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  • CreatedFebruary 27, 2015
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