alternative cost, Cost Accounting

Assignment Help:
Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics:


Chicken Fish
Selling price per taco $3.00 $4.50
Variable cost per taco 1.50 2.25
Expected sales (tacos) 200,000 300,000

--------------------------------------------------------------------------------



The total fixed costs for the company are $117,000.


Required:
(a) What is the anticipated level of profits for the expected sales volumes?



(b) Assuming that the product mix would be 40 percent chicken and 60 percent fish at the break-even point, compute the break-even volume.


(c) If the product sales mix were to change to four chicken tacos for each fish taco, what would be the new break-even volume? (Round up your Break-Even Volume to the nearest whole unit.)


Related Discussions:- alternative cost

What are the total units to be accounted for on the cost of, The Butchering...

The Butchering Department of the Santa Fe Meat Packing Corporation (a process costing corporation, FIFO costing) had 1,500 units, 1/3 completed at the beginning of the period and 1

Sales budget, Sales Budget It provides volume of sales and sales mix o...

Sales Budget It provides volume of sales and sales mix of the recent operations. The sales forecast is initially prepared and upon completion the sales budget is finalized. Th

Assumptions of cvp, Assumptions of CVP This chapter has given informati...

Assumptions of CVP This chapter has given information on how to apply CVP for the business analysis. Most of this analysis is keyed to the model of how profitability is impacte

Retirement account, You want to have $2,000,000 in your retirement account ...

You want to have $2,000,000 in your retirement account (IRA) at the end of 30 years. You hope to earn 6% per year. How much must you save each year?

Wages and salaries, Given the information that follows, prepare a cash budg...

Given the information that follows, prepare a cash budget for the XYZ Store for the first six months of 2010. All prices and costs remain constant. Sales are 90% for cre

Income received in advance, This is the income received but not earned thro...

This is the income received but not earned throughout the accounting period. Conversely, this is the income for those services are to be rendered in future. Such income is deducted

Fcff and fcfe, Show the effect of an increase in each of the items listed b...

Show the effect of an increase in each of the items listed below on the FCFF and FCFE. Suppose a $100 increase in every case and a 40 percent tax rate a.    Net income b.    Cas

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd