Instead, lets talk about sales mix This relates to the mix ofproducts...

Instead, letâ€™s talk about sales mix. This relates to the mix of products. How do changes...

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Finance

Instead, letâ€™s talk about sales mix. This relates to the mix ofproducts. How do changes in the mix of products impact breakeven?How could a shift in sales mix result in both a higher breakevenpoint and a lower net income? Use specific examples from a companyyou know something about. (for instance, for Apple you could dolaptop vs. I-series items) What are the assumptions underlyingsales mix and cost volume profit that are potentiallymisleading?

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4.3 Ratings (636 Votes)

A less favorable sales mix Since some product and services have lower contribution margins than othersif a greater proportion of the lower contribution margin items are sold the company will need to sell more unitsthereby increasing the companys break even point The sales mix is a calculation that determines the proportion of each See Answer

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