Based on The Grow Green Program case study and these contribution margin rates, calculate the weighted average contribution margin rate for all five products (for Try). Use this information to determine:
- Breakeven sales for participating organization
- Target profit breakeven sales per participating organization for one (1), ten (10) and twenty-five (25) organizations.
For Try (Retail Selling Prices):
Compost: [Equation]
[Equation] [Equation] 1 ($18.00-$11.00)100=38.89%
Landscape Mulch: [Equation] [Equation] [Equation] 1$12.50-$4.00100=68.00%
Two-Way Topsoil: [Equation]
[Equation]
[Equation] ($19.00$19.00$8.50 )100=55.26%
Tri-Mix Topsoil: [Equation]
[Equation] [Equation] ($22.00$22.00$11.75 )100= 46.59%
Landscape Woodchips: [Equation]
[Equation]
[Equation] ($32.00-$18.00)100
43.75%
For Participating Organizations (Wholesale Selling Prices):
Compost: [Equation] [Equation] [Equation] ($13.00-$11.00 )x100= 15.38%
Landscape Mulch: [Equation] [Equation] [Equation] ($10.00-$4.00100=60.00%
Two-Way Topsoil: [Equation]
[Equation] [Equation] $12.00-$8.50100=29.17%
Tri-Mix Topsoil: [Equation]
[Equation] [Equation] ($17.00-$11.75)100=30.88%
Landscape Woodchips: [Equation] [Equation] [Equation] ($27.00-$18.00)100
33.33%