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Look at the sales prices change that is being suggested. In particular, Winetki talks about one of the product's prices as doubling, and that the break-even analysis should be updated for that.

Using just the suggested change to that product's price change, and ignoring all other suggested changes, calculate a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach.

Look at the sales prices change that is being suggested In particular Winetki talks about one of the products prices as doubling and that the breakeven analysis class=
Look at the sales prices change that is being suggested In particular Winetki talks about one of the products prices as doubling and that the breakeven analysis class=

Respuesta :

The calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

What is the weighted-average contribution margin?

The weighted-average contribution margin shows the average amount that a group of products or services contribute to meet the fixed costs.

The weighted-average contribution margin can be computed as Aggregate sales - Aggregate variable expenses) ÷ Number of units sold.

Data and Calculations:

Aggregate sales revenue = $1,800,000

Aggregate variable costs = $1,125,000

Aggregate contribution margin = $675,000 ($1,800,000 - $1,125,000)

Total units sold = 1,500,000

Total fixed costs = $520,000

Weighted average contribution margin = $0.45 ($675,000/1,500,000)

Break-even point in units = 1,155,556 units ($520,000/$0.45)

Thus, the calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

Learn more about break-even analysis at https://brainly.com/question/21137380

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