The following unit-based profit functions were for X Company's only two products, A and B, in...
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The following unit-based profit functions were for X Company's only two products, A and B, in 2020: Product A: PA $2.27XA $39,000 Product B: PB = $4.91XB - $69,000 In 2020, unit sales of A were 25,000, and unit sales of of B were 13,000. Assume the product mix in 2021 remains the same as in 2020, how many total units must be sold in 2020 in order for X Company to earn profit of $42,000 [round the weighted average contribution margin per unit to two decimal places]? The following unit-based profit functions were for X Company's only two products, A and B, in 2020: Product A: PA $2.27XA $39,000 Product B: PB = $4.91XB - $69,000 In 2020, unit sales of A were 25,000, and unit sales of of B were 13,000. Assume the product mix in 2021 remains the same as in 2020, how many total units must be sold in 2020 in order for X Company to earn profit of $42,000 [round the weighted average contribution margin per unit to two decimal places]?
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To find the total number of units that must be sold in 2020 for X Company to earn a profit of 42000 we need to calculate the weighted average contribu... View the full answer
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Accounting Texts and Cases
ISBN: 978-1259097126
13th edition
Authors: Robert Anthony, David Hawkins, Kenneth Merchant
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