Question:JB Company sells three products — A, B, and C — with contributionmargins of...Question:JB...

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Accounting

Question:
JB Company sells three products — A, B, and C — with contributionmargins of $2.5, $1, and $2, respectively. The fixed costs for theperiod are $128. Preliminarily, the company has three versions offorecast for the coming period as follows:
Forecast One:
The forecast sales of 200 units in the coming period, consistingof 40 units of A, 100 units of B, and 60 units of C.
Forecast Two:
The forecast sales of 220 units in the coming period,maintaining the same sales mix as Forecast One.
Forecast Three:
The forecast sales of 240 units in the coming period, consistingof 40 units of A, 100 units of B, and 100 units of C. Fixed costsare increased to $160.
Required:
A. What is the company’sbreakeven point in bundles under Forecast One?
Breakeven point=  bundles
B. What is the company’s breakeven point intotal units of (in the sum of) the three products under ForecastOne?
Breakeven point =  in total units
C. What is the company’s total contributionmargin under Forecast Two?
Contribution Margin =$
D. What is the company’s operating income underForecast Three?
Operating Income =$
E. What is the new breakeven point in bundlesunder Forecast Three?
Breakeven point =  bundles
F. What is the new breakeven point in totalunits of (in the sum of) the three products under ForecastThree?
Breakeven point =  in totalunits

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3.9 Ratings (486 Votes)

Particulars A B C Total Units Contribution per Unit Total Contribution Units Contribution per Unit Total Contribution Units Contribution per Unit Total Contribution Units Total Contribution Contribution Margin per unit 25 1 2 Forcast A 40 25 100 100 1 100 60 2 120 200 320 Forcast B 44 25 110 110 1 110 66 2 132 220 352 Forcast C 40 25 100 100 1 100 100 2 200 240 400 Requirements A What is the companys breakeven point in bundles under Forecast One Breakeven point bundles Break Even Point Factor Fixed Cost Margin 128320 04 Units Contribution See Answer

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In: AccountingQuestion:JB Company sells three products — A, B, and C — with contributionmargins of...Question:JB Company sells three products — A, B, and C — with contributionmargins of $2.5, $1, and $2, respectively. The fixed costs for theperiod are $128. Preliminarily, the company has three versions offorecast for the coming period as follows:Forecast One:The forecast sales of 200 units in the coming period, consistingof 40 units of A, 100 units of B, and 60 units of C.Forecast Two:The forecast sales of 220 units in the coming period,maintaining the same sales mix as Forecast One.Forecast Three:The forecast sales of 240 units in the coming period, consistingof 40 units of A, 100 units of B, and 100 units of C. Fixed costsare increased to $160.Required:A. What is the company’sbreakeven point in bundles under Forecast One?Breakeven point= bundles B. What is the company’s breakeven point intotal units of (in the sum of) the three products under ForecastOne?Breakeven point = in total unitsC. What is the company’s total contributionmargin under Forecast Two?Contribution Margin =$ D. What is the company’s operating income underForecast Three?Operating Income =$ E. What is the new breakeven point in bundlesunder Forecast Three?Breakeven point = bundlesF. What is the new breakeven point in totalunits of (in the sum of) the three products under ForecastThree?Breakeven point = in totalunits