Vargross Company presented the following data for analysis affecting its gross profit. The company is selling two products, Avon and Bona 2021 2020 Net Sales 228,000 175,000 Cost of Sales 105,000 70,000 128,400 Gross Margin 99,600 Additional data: 2021 2020 Items Avon Bona Avon Bona Units sold 12,000 16,000 10,000 15,000 Unit selling price 1.00ו 6.00 10.00 5.00 Unit costs 6.30 3.30 6.00 3.00 Unit GP 4.70 2.70 4.00 2.00

Vargross Company presented the following data for analysis affecting its gross profit. The company is selling two products, Avon and Bona 2021 2020 Net Sales 228,000 175,000 Cost of Sales 105,000 70,000 128,400 Gross Margin 99,600 Additional data: 2021 2020 Items Avon Bona Avon Bona Units sold 12,000 16,000 10,000 15,000 Unit selling price 1.00ו 6.00 10.00 5.00 Unit costs 6.30 3.30 6.00 3.00 Unit GP 4.70 2.70 4.00 2.00

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 29E

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