Question: Problem 4 - 4 1 . Multi - Product Operation, Break - Even Sales, Target Operating information for four different products sold by Kline Company
Problem MultiProduct Operation, BreakEven Sales, Target
Operating information for four different products sold by Kline Company follows:
tabletableProductAProduct BProduct CProduct DUnits sold,Sales$$$$Variable product costs,tableIdentifiable fixed productcoststableVariablesellingadministrativetableIdentifiable fixedsellingadministrative
Common fixed costs are $ and the income tax rate is percent.
Required:
Note: Round all dollar values to the nearest dollar.
Determine the revenues that Kline must achieve to break even.
Determine the number of units of each product that Kline must sell to break even, assuming the sales mix remains constant.
Determine the sales revenue needed to earn an aftertax profit of $
Determine the number of units of each product that must be sold for Kline to achieve an aftertax profit of $
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