The following data belongs to Epandulo Manufacturing for the Month of March 2022. Single Bed 3 Quarter Double Bed Sales mix 25% 30% 45% Sales / unit N$ 2,300 N$ 2,800 N$ 3,000 For the month of March, the company had a contribution margin ratio of 0,50. Epandulo's total sales and total costs are equal at the sales value of

The following data belongs to Epandulo Manufacturing for the Month of March 2022.

Single Bed

3 Quarter

Double Bed

Sales mix

25%

30%

45%

Sales / unit

N$ 2,300

N$ 2,800

N$ 3,000

For the month of March, the company had a contribution margin ratio of 0,50. Epandulo's total sales and total costs are equal at the sales value of N$ 306 000.

Required:

1.Compute Epandulo’s sales value at a target profit of N$30 000.

2.Calculate Epandulo’s weighted average contribution margin per unit.

3.Calculate the value of break-even point for double beds.

4,Calculate the number of break-even units for single beds.

Expert Answer

1. The sales value at a target profit of N$30 000 is N$336 000 Total sales = Total costs + Target pr View the full answer