Stan's Scooters plans to sell a standard scooter for $160 and a chrome scooter for $200. Stan's purchases the standard scooter for $40 and the chrome scooter for $50. Stan's expects to sell one standard scooter for every three chrome scooters. Stan's monthly fixed costs are $102,600. Read the requirements. Requirement 1. How many of each type of scooter must Stan's Scooters sell each month to break even? Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of products-total scooters to be sold. (Enter a "0" for a zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM = weighted-average contribution margin.) Fixed costs 102600 es Get more help - + Target profit 0 )+ Weighted-avg. CM per unit = Required sales in units + ( Requirements 1. How many of each type of scooter must Stan's Scooters sell each month to break even? 2. How many of each type of scooter must Stan's Scooters sell each month to earn $108,300? 3. Suppose Stan's expectation to sell one standard scooter for every three chrome scooters was incorrect and for every four scooters sold two are standard scooters and two are chrome scooters. Will the breakeven point of total scooters increase or decrease? Why? (Calculation not required.) Print Done × eck answer
Stan's Scooters plans to sell a standard scooter for $160 and a chrome scooter for $200. Stan's purchases the standard scooter for $40 and the chrome scooter for $50. Stan's expects to sell one standard scooter for every three chrome scooters. Stan's monthly fixed costs are $102,600. Read the requirements. Requirement 1. How many of each type of scooter must Stan's Scooters sell each month to break even? Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of products-total scooters to be sold. (Enter a "0" for a zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM = weighted-average contribution margin.) Fixed costs 102600 es Get more help - + Target profit 0 )+ Weighted-avg. CM per unit = Required sales in units + ( Requirements 1. How many of each type of scooter must Stan's Scooters sell each month to break even? 2. How many of each type of scooter must Stan's Scooters sell each month to earn $108,300? 3. Suppose Stan's expectation to sell one standard scooter for every three chrome scooters was incorrect and for every four scooters sold two are standard scooters and two are chrome scooters. Will the breakeven point of total scooters increase or decrease? Why? (Calculation not required.) Print Done × eck answer
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 5EA: Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of...
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Transcribed Image Text:Stan's Scooters plans to sell a standard scooter for $160 and a chrome scooter for $200. Stan's purchases the standard scooter for $40 and the chrome scooter for $50.
Stan's expects to sell one standard scooter for every three chrome scooters. Stan's monthly fixed costs are $102,600.
Read the requirements.
Requirement 1. How many of each type of scooter must Stan's Scooters sell each month to break even?
Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of products-total scooters to be sold. (Enter a "0" for a
zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM = weighted-average contribution margin.)
Fixed costs
102600
es
Get more help -
+
Target profit
0
)+ Weighted-avg. CM per unit = Required sales in units
+ (
Requirements
1. How many of each type of scooter must Stan's Scooters sell each month to
break even?
2. How many of each type of scooter must Stan's Scooters sell each month to
earn $108,300?
3. Suppose Stan's expectation to sell one standard scooter for every three
chrome scooters was incorrect and for every four scooters sold two are
standard scooters and two are chrome scooters. Will the breakeven point of
total scooters increase or decrease? Why? (Calculation not required.)
Print
Done
×
eck answer
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