Contribution margin for A is 2 (5-3) B is 1 (6-5)
The sales mix A 3 unit B 1 unit so the percentage is 3/4 75% A 1/4 25 % B
Fixed COST 280,000/ 2x.75 + 1x .25
280,000/1.75 = 160,000
For B 160,000X .25 = 40,000
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NISHAD CHENDRATH BHASKARAN
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Original Message:
Sent: 05-07-2023 01:55 AM
From: Mohammed Aminsha
Subject: Can any one help me on this ?
FC = 280,000
BEP profit= 0
So CM also = 280,000
One unit of sale A & 3 unit sale of B
Sales unit= "X"
Cm = (sales unit x sellingprice)-(sales unit x variable cost) = 280,000
A=("X"*3x5) - ("X"*3x3) +. (*3 is 1A=3B)
B=("X" x 6) - ("X" x 5)
15x - 9x + 6x - 5x =280,000
Finally. X= 40,000
Ans: doller unit of sale B
=40,000*6 = 240,000
Original Message:
Sent: 5/6/2023 9:32:00 AM
From: Rajesh Kumar
Subject: Can any one help me on this ?
A company with $280,000 of fixed costs has the following data:
| Product A | Product B |
Sales price per unit | $5 | $6 |
Variable costs per unit | $3 | $5 |
Assume three units of A are sold for each unit of B sold. How much will sales be in dollars of product B at the breakeven point?
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Rajesh Kumar
Accountant
Koderma
India
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