- This topic has 1 reply, 2 voices, and was last updated 11 years ago by John Moffat.
Viewing 2 posts - 1 through 2 (of 2 total)
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>
Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Breakeven Sales Revenue
Could someone please help me with the following question??!!
EC ltd produces and sells the following two products throughout the year in a constant mix.
Product X Product Y
Variable Costs $0.45 $0.60
Fixed Costs $1212000 per period
The management of EC has stated that total sales revenue will reach a maximum of $4000000 and is generated by the two products in the following proportions:
Product X Product Y
Variable cost per $ of Sales 70% 30%
the question is : Calculate the breakeven sales revenue required per period, based on the sales mix assumed above
i really cannot understand how to find out the contribution from here??? and i dnt get the sales mix they are talking about?? what does it mean??!! So could someone pls solve this…???!!
Either you have mis-typed or there is a typing error in the question, because you are not told the proportions of each product. I would guess it is 70% 30% but that is not shady the question actually says.