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Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics: ...

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Accounting

Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics:

Chicken Fish
Selling price per taco $ 3.80 $ 4.70
Variable cost per taco 1.90 2.35
Expected sales (tacos) 193,000 299,000

The total fixed costs for the company are $110,000.

Required:

a. What is the anticipated level of profits for the expected sales volumes?

Profit-

b. Assuming that the product mix would be 36 percent chicken and 64 percent fish at the break-even point, compute the break-even volume. (In your computations, round up the total units to break-even to the nearest whole number and round other intermediate calculations to 2 decimal places. Round your final answers up to the nearest whole unit.)

Break-even Volume
Chicken tacos
Fish tacos

c. If the product sales mix were to change to four chicken tacos for each fish taco, what would be the new break-even volume? (In your computations, round up the total units to break-even to the nearest whole number and round other intermediate calculations to 2 decimal places. Round your final answers up to the nearest whole unit.)

Break-even Volume
Chicken tacos
Fish tacos

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