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What do the highlight units get wrong? Requirement 3. What would...

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Accounting

What do the highlight units get wrong?

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Requirement 3. What would operating income be if 20,000 units of A, 80,000 units of B, and 100,000 units of C were sold? What is the new breakeven point in units if these relationships persist in the next period? Begin by completing the table below to calculate operating income. A B Total 20,000 80,000 100,000 Units sold 200,000 Contribution margin $ 60,000 $ 160,000 $ 100,000 320,000 255,000 Fixed costs $ 65,000 Operating income Now determine the new sales mix. For every 1 unit of A, 4 units of B are sold, and 5 units of C are sold. Now calculate the breakeven point in bundles for this requirement, then determine the breakeven point for each product line. (Round to the nearest whole number.) The breakeven point is 15,938 bundles. This translates to a breakeven point of 15,938 units of A, 63750 units of B, and 79688 units of C

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