PROBLEM 8. The Color Company manufactures and sells two products. The selling prices and variable costs of the products are as follows: Selling prices Variable costs Blujets P20 Blupens P40 24 8 The sales for 2021 were in the ratio of 3 Blujets to 1 Blupen. Sales volume for 2021 was P1 million. Fixed costs for 2020 amounted to P390,000. Requirements: 1. Compute the number of units sold in 2021 for each product. 2. Compute the breakeven sales in pesos and in units. 3. Compute the composite breakeven for the company.

Principles of Accounting Volume 2
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Chapter3: Cost-volume-profit Analysis
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Problem 6PA: Morris Industries manufactures and sells three products (AA, BB, and CC). The sales price and unit...
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PROBLEM 8. The Color Company manufactures and sells two
products. The selling prices and variable costs of the products
are as follows:
Blujets
Blupens
Selling prices
Variable costs
P20
P40
8
24
The sales for 2021 were in the ratio of 3 Blujets to 1 Blupen.
Sales volume for 2021 was P1 million. Fixed costs for 2020
amounted to P390,000.
Requirements:
1. Compute the number of units sold in 2021 for each
product.
2. Compute the breakeven sales in pesos and in units.
3. Compute the composite breakeven for the company.
Transcribed Image Text:PROBLEM 8. The Color Company manufactures and sells two products. The selling prices and variable costs of the products are as follows: Blujets Blupens Selling prices Variable costs P20 P40 8 24 The sales for 2021 were in the ratio of 3 Blujets to 1 Blupen. Sales volume for 2021 was P1 million. Fixed costs for 2020 amounted to P390,000. Requirements: 1. Compute the number of units sold in 2021 for each product. 2. Compute the breakeven sales in pesos and in units. 3. Compute the composite breakeven for the company.
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