I am currently enrolled in a cost accounting class. Our last excel problem
is that we have been given a solution page for an projected income statement
and there are 2 items that the company sells.

Regular Sander Mini-sander Total
Sales $3,000,000 $1,800,000 $4,800,000
Less VE $1,800,000 $900,000 $2,700,000
CM $1,200,000 $900,000 $2,100,000
- DFE $3000,000 $450,000 $750,000
ProdMrg $900,000 $450,000 $1,350,000
Less: Common fixed expenses $600,000
Operating Income $750,000

Units sold 75,000 30,000

Unit sales price $40 $60
Unit variable expenses $24 $30
Unit combination margin $16 $30
Sales mix 5 2
Package unit contribution margin $80 $60 $140

Break-even units 48215 19286

Break-even proof
Regular Sander Mini-sander Total
Sales $1,928,571 $1,157,143 $3,085,714
Less: Variable expenses $1,157,143 $578,571 $1,735,714
Contribution margin $771,429 $578,571 $1,350,000
Less: Direct fixed expenses $300,000 $450,000 $750,000
Product margin $471,429 $128,571 $600,000
Less: Common fixed expenses $600,000
Operating Income $0

"Pete_UK" wrote:

Can you explain how you get an answer of 5 ?

Do you really mean highest common factors ? If so, what about other
factors ?

Take a look he

http://www.helpwithfractions.com/lea...nominator.html

Hope this helps.

Pete

On Apr 28, 3:03 pm, Gizmo wrote:
The numbers I am working with are 3,000,0000 and 4,800,000. I know the
answer is 5. I need to come up with a formula that will give me the answer
of 5.



"Glenn" wrote:
Gizmo wrote:
I am trying to find a formula that will give me the least common denominator
for doing a cost account spreadsheet with sales mix.

It might be possible to help if you provided sample data and expected results.- Hide quoted text -

- Show quoted text -