Question : 61.              In a sales mix situation, at any level of : 1311745

 

 

61.              In a sales mix situation, at any level of units sold, net income will be higher if

a.more higher contribution margin units are sold than lower contribution margin units.

b.more lower contribution margin units are sold than higher contribution margin units.

c.more fixed expenses are incurred.

d.weighted-average unit contribution margin decreases.

 

 

62.              Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-Chip) and 70% (Q-Chip Plus). Q-Chip has variable costs per unit of $60 and a selling price of $100. Q-Chip Plus has variable costs per unit of $70 and a selling price of $130. The weighted-average unit contribution margin for Ramirez is

a.$46.

b.$50.

c.$54.

d.$100.

 

 

63.              Capitol Manufacturing sells 3,000 units of Product A annually, and 7,000 units of Product B annually. The sales mix for Product A is

a.30%.

b.43%.

c.70%.

d.Cannot determine from information given.

 

 

64.              Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-Chip) and 70% (Q-Chip Plus). Q-Chip has variable costs per unit of $60 and a selling price of $100. Q-Chip Plus has variable costs per unit of $70 and a selling price of $130. Ramirez’s fixed costs are $540,000. How many units of Q-Chip would be sold at the break-even point?

a.3,000

b.3,522

c.5,000

d.7,000

 

 

65.              Roosevelt Corporation has a weighted-average unit contribution margin of $40 for its two products, Standard and Supreme. Expected sales for Roosevelt are 40,000 Standard and 60,000 Supreme. Fixed expenses are $1,800,000. How many Standards would Roosevelt sell at the break-even point?

a.18,000

b.27,000

c.30,000

d.45,000

 

 

66.              Roosevelt Corporation has a weighted-average unit contribution margin of $40 for its two products, Standard and Supreme. Expected sales for Roosevelt are 40,000 Standard and 60,000 Supreme. Fixed expenses are $1,800,000. At the expected sales level, Roosevelt’s net income will be

a.$(200,000).

b.$ – 0 -.

c.$2,200,000.

d.$4,000,000.

 

 

67.              Swanson Company has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear. Swanson incurs $4,440,000 in fixed costs. The contribution margin ratio for Sporting Goods is 30%, while for Sports Gear it is 50%. The weighted-average contribution margin ratio is

a.37%.

b.40%.

c.43%.

d.50%.

 

 

68.              Swanson Company has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear. Swanson incurs $4,440,000 in fixed costs. The contribution margin ratio for Sporting Goods is 30%, while for Sports Gear it is 50%. The break-even point in dollars is

a.$1,642,800.

b.$10,325,582.

c.$11,100,000.

d.$12,000,000.

 

69.              Swanson Company has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear. Swanson incurs $4,440,000 in fixed costs. The contribution margin ratio for Sporting Goods is 30%, while for Sports Gear it is 50%. What will sales be for the Sporting Goods Division at the break-even point?

a.$3,600,000

b.$4,200,000

c.$6,711,628

d.$7,800,000

 

 

70.              Swanson Company has two divisions; Sporting Goods and Sports Gear. The sales mix is 65% for Sporting Goods and 35% for Sports Gear. Swanson incurs $4,440,000 in fixed costs. The contribution margin ratio for Sporting Goods is 30%, while for Sports Gear it is 50%. What will be the total contribution margin at the break-even point?

a.$3,820,466

b.$4,440,000

c.$4,480,000

d.$5,160,000

 

 

 

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