Multiproduct, Contribution Margin National Tennis Racquet Co. produces and sells three models.
Smasher Basher Dinker Total
Units sold 1,000 2,000 2,000 5,000
Sales $100,000 $120,000 $80,000 $300,000
Less variable costs 50,000 48,000 24,000 122,000
Contribution margin 50,000 72,000 56,000 178,000
Less common fixed costs 103,000
Profit $75,000

A. What is the weighted average contribution margin per unit?
B. Calculate the break-even point in units assuming the current mix.
C. What would be the number of Smashers, Bashers, and Dinkers in the break-even level of sales?

Multiproduct, Contribution Margin National Tennis Racquet Co. produces and sells three models.
Smasher Basher Dinker Total
Units sold 1,000 2,000 2,000 5,000
Sales $100,000 $120,000 $80,000 $300,000
Less variable costs 50,000 48,000 24,000 122,000
Contribution margin 50,000 72,000 56,000 178,000
Less common fixed costs 103,000
Profit $75,000

A. What is the weighted average contribution margin per unit?
B. Calculate the break-even point in units assuming the current mix.
C. What would be the number of Smashers, Bashers, and Dinkers in the break-even level of sales?

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