Sanburn Sporting Goods manufactures athletic and recreational equipment. Their unit sales and cost data for...
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Sanburn Sporting Goods manufactures athletic and recreational equipment. Their unit sales and cost data for the year 2020 is shown here: Pool cues Tennis rackets $ 50 40 Baseball bats $ 45 42 Lacrosse sticks $ 65 $ 25 Sales price / unit Variable costs / unit Contribution margin/ unit Sales mix $ 10 $ 3 $ 10 $25 40% 30% 25% 5% Sanburn expects their total fixed costs to be $125,425 in 2020. REQUIRED: 1. Calculate Sanburn's break-even point in units for the whole company. 2. Calculate Sanburn's break-even point in units for each of their products. 3. Demonstrate that the sales quantities you found for each product in #2 will actually generate an overall net income of zero for Sanburn
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