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Carter Co. sells two products, Arks and Bins. Last year Carter sold 14,000 units of Arks and 56,000 units of Bins. Related data are:
Product Unit Selling Price Unit Variable cost Unit Contribution Margin
A $120 $80 $40
B $80 $60 $20
Question 1: How do figure out the weighted average unit selling price?
Question 2: How do figure out the weighted average variable cost?
Question 3: How do figure out the weighted average unit contribution margin?
Question 4: If were to assume that last year's fixed costs totaled $960,000, how would figure out the break-even point in units?
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