contestada

Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Laptops $1,600 $800 40% Tablets 850 350 60% The estimated fixed costs for the current year are $2,498,600. 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year. 2. Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year.

Respuesta :

facundobuzzetti

Answer:

Instructios are listed below.

Explanation:

Giving the following information:

Laptops:

Selling price= $1,600

Cost per unit= $800

Sale mix= 40%

Tablets:

Selling price= $850

Cost per unit= $350

Sale mix= 60%

The estimated fixed costs for the current year are $2,498,600

A) Break-even point (units)= Total fixed costs / (weighted average selling price - weighted average variable expense)

Weighted average selling price= (1600*0.40) + (850*0.60)= $1,150

Weighted average variable expense= (800*0.40) + (350*0.60)= 530

Break-even point (units)= 2,498,600 / (1150 - 530)= 4,030 units

B) Laptops= 4030*0.40= 1,612 units

Tablets= 4030*0.60= 2,418 units

The unit sales of both laptops and tablets for the current year include 1612 units and 2418 units respectively.

Based on the information given in the question, we've to calculate the weighted average selling price which will be:

= (1600 × 40%) + (850 × 60%)

= (1600 × 0.4) + (850 × 0.6)

= 640 + 510

= 1150

The weighted average variable expense will be:

= (800 × 40%) + (350 × 60%)

= (800 × 0.4) + (350 × 0.6)

= 320 + 210

= 530

Therefore, the breakeven point will be:

= 2498600 / (1150 - 530)

= 4030 units.

Therefore, the number of laptops will be:

= 4030 × 40% = 1612 units.

The number of tablets will be:

= 4030 × 60% = 2148 units.

Read related link on:

https://brainly.com/question/12808136

Otras preguntas

Q&A Education