Sales Mix and Break-Even Sales Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $217,600, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows: Products Unit Selling Price Unit Variable Cost Bats $40   $30   Gloves 100   60   a.  Compute the break-even sales (units) for the overall enterprise product, E. units b.  How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point? Baseball bats  units Baseball gloves  units

Managerial Accounting
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ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
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Sales Mix and Break-Even Sales

Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $217,600, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows:

Products Unit Selling Price Unit Variable Cost
Bats $40   $30  
Gloves 100   60  

a.  Compute the break-even sales (units) for the overall enterprise product, E.
 units

b.  How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point?

Baseball bats  units
Baseball gloves  units
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