In: Accounting
Mission Foods produces two flavors of tacos, chicken and fish, with the following characteristics:
Chicken | Fish | |||||
Selling price per taco | $ | 3.00 | $ | 4.50 | ||
Variable cost per taco | 1.50 | 2.25 | ||||
Expected sales (tacos) | 200,000 | 300,000 | ||||
a. What is the anticipated level of profits for the expected sales volumes? Profit Chicken c.If the product sales mix were to change to four chicken tacos for each fish taco, what would be the new break-even volume? (In your computations, round up the total units to break-even to the nearest whole number and round other intermediate calculations to 2 decimal places. Round your final answers up to the nearest whole unit.) Chicken Fish |