Mckissic Corporation has two divisions: Domestic and Foreign.Data from the most recent month appear below: The break-even in sales dollars for the company as a whole is closest to:

A) $437,304
B) $347,886
C) $394,323
D) $89,418

Question

Mckissic Corporation has two divisions: Domestic and Foreign.Data from the most recent month appear below:

The break-even in sales dollars for the company as a whole is closest to:

A) $437,304
B) $347,886
C) $394,323
D) $89,418

Mikel Brinkley · Accepted Answer

Final Answer : A, Explanation :  Overall company:CM ratio = Contribution margin ÷ Sales= $292,760 ÷ $450,000 = 0.65Fixed expenses = Traceable fixed expenses + Common fixed expenses= $226,000 + $58,500 = $284,500Dollar sales to break even = Fixed expenses ÷ CM ratio= $284,500 ÷ 0.65 = $437,304

Mckissic Corporation has two divisions: Domestic and Foreign.Data from the most recent month appear below: The break-even in sales dollars for the company as a whole is closest to:

A) $437,304
B) $347,886
C) $394,323
D) $89,418

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Learning Objectives

Related questions

Mckissic Corporation has two divisions: Domestic and Foreign.Data from the most recent month appear below: The break-even in sales dollars for the company as a whole is closest to:A) $437,304B) $347,886C) $394,323D) $89,418

Definitions

Learning Objectives

Learning Objectives

Related questions

Mckissic Corporation has two divisions: Domestic and Foreign.Data from the most recent month appear below: The break-even in sales dollars for the company as a whole is closest to:

A) $437,304
B) $347,886
C) $394,323
D) $89,418