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    Sales Mix and Break Even Analysis

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    Leisure products, inc manufactures and sells 2 products, golf balls and tennis balls. Fixed cost are $100,000 and unit sales $60,000 sheaths of golf balls and 40,000 cans of tennis balls. The unit sales prices are unit variable cost are as follows:

    Product Unit sales price Unit variable cost
    golf balls $6 $3
    tennis balls $4 1.5

    1. Compute the sales mix percentages
    2. Compute the overall breakeven unit sales
    3. Compute the unit sales of golf balls and tennis balls at the break even point

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    Solution Preview

    Total Sale of Golf balls = 60000*6 = $360,000
    Total Sale of tennis balls = 40000*3 = $120,000
    Total Sales of the company = 360000+120000 ...

    Solution Summary

    The solution performs sales mix and break even analysis.