Question

Oriole Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data: Pairs of Shoes Pairs of Gloves Range-Finder Unit sales price $110 $30 $290 Unit variable costs 75 9 215 Unit contribution margin $35 $21 $75 Sales mix 35% 50% 15% Fixed costs are $748,000.

          Oriole Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data:
Pairs of
Shoes
Pairs of Gloves
Range-Finder
Unit sales price
$110
$30
$290
Unit variable costs
75
9
215
Unit contribution margin
$35
$21
$75
Sales mix
35%
50%
15%
Fixed costs are $748,000.

Oriole Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data:
Pairs of
Shoes
Pairs of Gloves
Range-Finder
Unit sales price
11030
290
Unit variable costs
75
9
215
Unit contribution margin35
2175
Sales mix
35%
50%
15%
Fixed costs are 748,000.

Added by Patrick R.

Horngren’s Cost Accounting

Srikant M. Datar, Madhav V. Rajan 16th Edition

Instant Answer

Solved by Expert Ashton Stewart

Step 1

The break-even point is the number of units that need to be sold for a company to cover all its fixed and variable costs, resulting in zero profit. In this case, the total break-even point for the company is given as 22,000 units. Show more…

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Texts: Break-even point in units for the company is 22,000. Determine the number of units to be sold at the break-even point for each product line. Break-even point: Shoes - units Gloves - units Range-Finder - units Oriole Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data: Pairs of Shoes Pairs of Gloves Range-Finder Unit sales price $110 $30 $290 Unit variable costs $75 $9 $215 Unit contribution margin $35 $21 $75 Sales mix 35% 50% 15% Fixed costs are $748,000.