Answer:
Total Break even sales = 154,000 units
Lawnmowers ($154,000 × 20%) = 30,800 Units
Weed-trimmers ($154,000 × 50%) = 77,000 units
Chainsaws ($154,000 × 30%) = 46,200 Units
Explanation:
As per the data given in the question, the computation is shown below:
Weighted contribution margin = Contribution margin × Sales mix
= (0.2 × 30) + (0.5 × $21) + (0.3 × $39)
= $28.2
Now, Total break even sales = Fixed cost ÷ Weighted contribution margin
= $4,342,800 ÷ $28.2
= 154,000 units
So classifications are as follows
Lawnmowers ($154,000 × 20%) = 30,800 Units
Weed-trimmers ($154,000 × 50%) = 77,000 units
Chainsaws ($154,000 × 30%) = 46,200 Units
We simply multiplied the total break even sales with each sales mix
