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Product D
$25
18
$ 7
Product D
a. 1,200 units
b. 2,460 units
c. 18,000 units
d. 6,000 units
800 units
1,312 units
14,000 units
4,000 units
Figure 1
Information about two products is as follows:
Product E
$40
15
$25
Product Z
$65
45
$20
2. Refer to Figure 1.
a.
b.
c.
d.
Product E
Product Z
600 units
3,000 units
4,000 units
8,000 units
150 units
750 units
1,000 units
2,000 units
3. Refer to Figure 1.
Selling price
Variable cost
Contribution margin
Expected sales
Fixed costs are $170,500.
Economy
$10
$ 8
$2
18,000
Standard
$20
$13
$7
12,000
The
Deluxe
$35
$24
$11
6,000
4. Refer to Figure 3.
5. Refer to Figure 3.
$300,000
$220,000
$50,000
2,000 units
$100
$53
$188,000
5,000 units