Home Run Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $223,200, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows: Products Unit Selling Price Unit Variable Cost Bats $50 $40 Gloves 130 80 a. Compute the break-even sales (units) for the overall product, E. X units b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point? Baseball bats X units Baseball gloves X units

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 21E
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Sales Mix and Break-Even Sales
Home Run Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $223,200, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows:
Products
Unit Selling Price
Unit Variable Cost
Bats
$50
$40
Gloves
130
80
a. Compute the break-even sales (units) for the overall product, E.
X units
b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point?
Baseball bats
X units
Baseball gloves
X units
Transcribed Image Text:Sales Mix and Break-Even Sales Home Run Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $223,200, and the sales mix is 80% bats and 20% gloves. The unit selling price and the unit variable cost for each product are as follows: Products Unit Selling Price Unit Variable Cost Bats $50 $40 Gloves 130 80 a. Compute the break-even sales (units) for the overall product, E. X units b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point? Baseball bats X units Baseball gloves X units
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