D 3) Sales Mix Analysis Delving further into the operations, another branch which is in...
70.2K
Verified Solution
Link Copied!
Question
Accounting
D 3) Sales Mix Analysis Delving further into the operations, another branch which is in the restaurant business is brought into focus. Management desires a net income of $ 135,000 from this division which has fixed costs of $ 300,000 per year. The following information about the operations of the division for the past two years has been supplied.
Sales Mix Percentage Contribution Margin
Ratio Appetizers 30% 60%
Main Entrees 50% 25%
Desserts 10% 50%
Beverages 10% 80%
You are required to prepare a report to show:
a) The total sales required to achieve the desired net income 6 Marks
b) The total sales of each product required to meet the objective. 4 Marks
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
