Question: Fall 2020 Question One (35 points) Avaya Co. makes and sells two types of ceiling fans, Basic and Deluxe. Data concerning these products are as
Fall 2020 Question One (35 points) Avaya Co. makes and sells two types of ceiling fans, Basic and Deluxe. Data concerning these products are as follows: Basic Deluxe Units sold 84,000 56,000 Unit selling price $50 $80 Variable cost per unit 24 30 Annual fixed expenses are $42,720. A. Compute the weighted average contribution margin /unit. Calculation (15 Points) Final answer B. Compute the break-even point in units. (10 Points) Calculation Final answer C. How many fans of each type must be sold to earn a target profit of $32,040. (10 Points) Calculation Final
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