Explore BrainMass

Explore BrainMass

    The Number of Pints of Fruit Sold at the Break-Even Point

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Matsunaga Farms produces strawberries and raspberries. Annual fixed costs are $15, 600. The cost driver for variable costs is 'pints of fruit produced'. The variable cost is $0.75 per pint of strawberries and $0.95 per pint of raspberries. Strawberries sell for $1.10 per pint, raspberries for $1.45 per pint. Two pints of strawberries are produced for every pint of raspberries

    1. Computer the number of pints of strawberries and number of pints of raspberries produced and sold at break even point
    2. Suppose only strawberries are produced and sold. Compute the break even point in pints.
    3. Suppose only raspberries are produced and sold. Compute the break even point in pints.

    © BrainMass Inc. brainmass.com June 4, 2020, 1:09 am ad1c9bdddf
    https://brainmass.com/business/financial-ratios/number-pints-fruit-sold-breakeven-point-381708

    Solution Preview

    Matsunaga Farms produces strawberries and raspberries. Annual fixed costs are $15, 600. The cost driver for variable costs is pints of fruit produced. The variable cost is $0.75 per pint of strawberries and $0.95 per pint of raspberries. Strawberries sell for $1.10 per pint, raspberries for $1.45 ...

    Solution Summary

    The solution determines the number of pints of strawberries and raspberries sold at the break-even point.

    $2.19

    ADVERTISEMENT