make two types or plant stanas to sell at tne snows. tadie makes twig stanos...
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make two types or plant stanas to sell at tne snows. tadie makes twig stanos out or aownea wood from his backyard and the yards of his neighbors, so his variable cost is minimal (wood screws, The twig stands are more popular, so Eddie sells four twig stands for every one oak stand. glue, and so forth). However, Eddie has to purchase wood to make his oak plant stands. His unit Julie charges her husband $510 to share her booth at the craft shows (after all, she has prices and costs are as follows: paid the entrance fees). How many of each plant stand does Eddie need to sell to breakeven? Will this affect the number of scarves Julie needs to sell to breakeven? (Click the icon to view the data.) Explain. Determine how many of each plant stand Eddie needs to sell to breakeven. Begin by computing the weighted-average contribution margin per unit. First identify the formula labels, then complete the calculations step by step. Next determine the formula to compute the breakeven sales in units. (Abbreviations used: Avg. = average and CM= contribution margin.) 1) Determine how many of each plant stands Eddie needs to sell to breakeven. Breakeven sales of twig stands is units. Breakeven sales of oak stands is units. Will this affect the number of scarves Julie needs to sell to breakeven? Explain. By charging her husband part of the craft fair entrance fees, her fixed costs will Therefore, Julie will need to sell scarves to breakeven than before her husband decided to share her craft booths. contribut Data table
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