How many japanese maples must mountain maples sell in a, Ask an Expert

Accounting

Mountain Maples is a mail-order nursery dedicated to growing, selling, and shipping beautiful Japanese Maple trees. Located on a ridge-top in Mendocino County, northern California, Mountain Maples offers two distinctive types of Japanese Maples: Butterfly and Moonfire. The trees are sold after five growing seasons, and revenue and cost data for each tree type (for most recent years) are as follows:

Butterfly Moonfire
Quantity Sold 800 1,600
Selling Price Per Tree $200 $100
Variable Cost Per Tree $100 $50

Mountain Maples' fixed costs for the more recent years were $75,000.

a. How many Japanese Maples must Mountain Maples sell in a year to break even? At this sales volume, how many Butterfly and Moonfire trees are sold?

b. At the current product mix, how many Butterfly trees must Mountain Maples sell in a year to earn a profit of $50,000?

c. Assume that Mountain Maples product mix changes to 50% Butterfly and 50% Moonfire. How does this information change your answer t part (a)?

View complete question

Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9438674

Have any Question?Write your Review or question?

Related Questions in Accounting Basics

Question - c d rom has just given an insurance company

Question - C. D. Rom has just given an insurance company $35,500. In return, he will receive an annuity of $4,400 for 20 years. At what rate of return must the insurance company invest this $35,500 in order to make the a ...

Question suppose that france and germany both have 100

Question: Suppose that France and Germany both have 100 units each of capital and labor, and that they share the same CRS technology with which they produce wine and cheese. However, tastes differ in the two countries: c ...

Question - the samuel company uses the straight-line method

Question - The Samuel Company uses the straight-line method to depreciate its equipment. On May 1, 2014, the company purchased some equipment for $224,000. The equipment is estimated to have a useful life of ten years an ...

Question - yancey co receives 300000 when it issues a

Question - Yancey Co. receives $300,000 when it issues a $300,000, 10%, mortgage note payable to finance the construction of a building at December 31, 2017. The terms provide for annual installment payments of $50,000 o ...

Part abackgroundsaturn petcare australia and new zealand

Part A Background: Saturn Petcare Australia and New Zealand is Australia's largest manufacturer of pet care products. Saturn have been part of the Australian and New Zealand pet care landscape since opening their first m ...

Question -what would you pay for an investment that pays

Question - What would you pay for an investment that pays you $5300000 after fifty years? Assume that the relevant interest rate for this type of investment is 8%. Vaughn Manufacturing makes an investment today (January ...

Question - asset acquisition vs stock purchase fair value

Question - Asset acquisition vs. stock purchase (fair value is greater than book value) Assume the investor purchases the same assets in #24, but now assume that the cash purchase price is $21,000. The investor is willin ...

Question - on january 1 year 1 homeland entity he signed a

Question - On January 1, year 1, Homeland Entity (HE) signed a 20-year lease contract for an office building. The lease contract calls for HE to make payments of $10,000 at the beginning of each year, with the first paym ...

Question - during 2017 crimson inc purchased 2775000 of

Question - During 2017, Crimson Inc. purchased $2,775,000 of inventory. The cost of goods sold for 2017 was $2,635,938 and the ending inventory at December 31, 2017 was $544,688. What was the inventory turnover for 2017?

Question - dillons camping equipment was burglarized on

Question - Dillon's Camping Equipment was burglarized on 3/10/15. It is unclear how many items were stolen. Dillon and its insurance company are currently working to estimate the dollar value of the stolen goods in order ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Accounting Basics Expert