To assist Marty with his marketing proposal you have offered to provide him with a break-even analysis for the 3 maca-sponge sized cakes. The costs are the same (refer to the cost estimation table in question 1). Fixed costs are $525,000 and the sales mix in the same percentage allocation that you calculated in question 1. 1. Calculate the unit contribution for each product. (2 marks) 2. What is the sales mix? (2 marks) 3. Calculate the weighted average unit contribution margin? (3 marks) 4. What is the break-even sales revenue in dollars? (4 marks)
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